HomeMy WebLinkAbout1987-237
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RESOLUTION NUHBER 8 7 -'~~L.__.
RESOLUTION OF THE CITY OF SAN BERNARDINO AUTHORIZING AND
DIRECTING THE EXECUTION OF A COMMUIJITY DEVELOPMENT BLOCK GRANT
FUNDING AGREEMENT BETWEEN THE CITY OF SAN BERNARDINO AND FAMILY
SERVICE AGENCY OF SAN BERNARDINO (VICTIM SUPPORT SERVICES) .
BE IT RESOLVED BY THE HAYOR AND CONNON COUNCIL OF THE CITY
OF SAN BERNARDINO AS FOLLOtffi:
SECTION 1. The Mayor of the City of San Bernardino is
hereby authorized and directed to execute; on behalf of the
City; an agreement for COiliuunity Development Block Grant funding
with Family Service Agency of San Berna dino (Victim Support
Services), a copy of which agreement is annexed hereto as
Exhibit "1" and is incorporated herein by reference as though
f\]]1y set forth at. J~~n<Jth. Tbe agreem{~nt provides for the
granting of Communit.y Devt~lopment Slock Grant funds in the
fo} lowing arnount of $40 i 000 . no.
T HT.::R8BY CBR7IFY I.La:.. ~~h( fOj"~~g0in9 resolution was duly
adc<flted by the and Coronion (nuclci 1 {)f ~.h(:: City of San Bernardino
a t a recru laT
meetirJ9 therl~of i b.elc1 on the 20th
day of
l}U J Y
, 1987, by the following vote, to wit:
AYES:
Counci Ipel~sons }~:~')t,r?(lc.l, Reilly, F}()re~;, rv'L?:';'-lcu,;Je~/,
Nino:!.', rc)pe-L:.;.(1~:_am, H:i 1.1e.r
NAYES:
None
;~P,S ENT ~
i'~ 0 n e
~PAd/~~
./' (" : .'__ y~ .t""' __ ._ 1_
'_ L ,_ ~_ .J.. \.-: ( ""
7/9/87
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The
day of
for'eooina
... oJ
Ju.l.y
resolution
Approved as to legaJ for~
and content:
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: V. )~l/t "'(l~4J..~/ /'/ ;C.~/c./- /,/
.- s . (/ ,."'.;
Mayor, Clty of San Bernardino
7/9/87
i
A~BE.E.ME.N:r
1 THIS AGREEMENT is entered into effective as of
2 July 1 , 1987, at San Bernardino, California,
3 between the CITY OF SAN BERNARDINO, a municipal corporation,
4 referred to as "City", and Fami ly Servi ce Agency of San Berna rdi no,
5 Inc. , a
6 nonprofit community service organization, referred to as "Sub-
7 recipient" ·
8 City and Subrecipient agree as follows:
9 1. Recitals.
10 (a) Subrecipient has requested financial assistance
11 from city for fiscal year 1987/1988 from funds available through
12 a community development block grant from the united States of
13 America to city.
14 (b) Subrecipient represents that the expenditures
15 authorized by this agreement are for valid community development
16 purposes, in accordance with federal law and regulations, and
17 that all funds granted under this agreement will be used for no
18 purpose other than those purposes specifically authorized. The
19 specific purposes and scope of services of this particular grant
20 are set forth in Exhibit "A", attached hereto and incorporated
21 into this agreement as though fully set forth herein.
22 2. Payments. City shall reimburse Subrecipient for allow-
23 able costs incurred under the scope of this agreement and
24 applicable Federal regulations, which have not been paid for or
25 reimbursed in any other manner by any other Agency or private
26 source of funding. Reimbursement will be made at least on a
27 monthly basis, with the total of all such reimbursements not to
28 exceed $ 40,000.00
7/9/87
1 3. Term. This agreement shall commence July 1, 1987 and
2 terminate June 30, 1988
3 4. Use of Funds: Budqet: Travel Limitation.
4 (a) The funds paid to Subrecipient shall be used by it
5 solely for the purposes set forth in Paragraph l(b) of this
6 agreement, and in accordance with the program budget submitted
7 by Subrecipient to the City of San Bernardino Community
8 Development Department, a copy of which is attached to this
9 agreement as Exhibit "B". This budget shall list all sources of
10 funding for the program covered by this agreement, whether from
11 state, Federal, local or private sources, and shall identify
12 which sources are paying for which specific portions of the
13 program, by line-item, to the extent practicable.
14 (b) No travel expenses for out-of-state travel shall
15 be included in this program unless specifically listed in the
16 budget as submitted and approved, and all travel expenses to be
17 funded from funds provided hereunder shall be specifically
18 identified as travel expense, which shall be negotiated between
19 the City of San Bernardino Community Development Department and
20 Subrecipient in the budget. Any travel expenses incurred by
21 Subrecipient above the budgeted amount or for out-of-state
22 travel shall not be eligible for reimbursement unless the prior
23 written approval of the Director of Community Development of the
24 city of San Bernardino, or designee, has been obtained.
25 (c) Funds shall be used for purposes authorized by the
26 community development block grant program only, and no portion
27 of the funds granted hereby shall be used for any purpose not
28 specifically authorized by this agreement.
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(d) Only net payroll shall be periodically reimbursed
by City as an allowable cost. Any amounts withheld by
Subrecipient from an employee's pay for taxes, social security,
or other withholding and not immediately paid over to another
entity, shall not be included as wages or expenses eligible for
reimbursement as an allowable cost until such time as the
withheld taxes, social security, or other withholdings are
actually paid over to another entity entitled to such payment.
Upon such payment and the submission of evidence of such payment
to the City of San Bernardino Community Development Department,
such expenses shall be regarded as an allowable cost, and the
City shall reimburse Subrecipient for such obligation.
(e) A variation in the itemization of costs, as set
forth in the proposed budget submitted to City, not to exceed
ten percent (10%) as to any particular line item, shall be
allowed, provided the prior written approval of the Director of
Community Development of the city of San Bernardino is obtained,
it being understood that the total amount of the grant shall not
be varied thereby.
(f) The parties intend that grant funds be utilized
within the time period covered by this agreement, and
entitlement to any funds not used shall revert to the City. No
reserve for the future shall be established with the funds
except as may be authorized to meet commitments made for
services provided during the period of this agreement, but not
yet paid for at the conclusion of this agreement.
5. Accountinq; Audit.
(a) Prior to the final payment under this agreement,
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1 and at such other times as may be requested by the Director of
2 Community Development of the City of San Bernardino,
3 Subrecipient shall submit to the Director an accounting of the
4 proposed and actual expenditures of all revenues from whatever
5 source accruing to the organization for the fiscal year ending
6 June 3, 1988.
7 (b) Financial records shall be maintained by
8 Subrecipient in accordance with generally accepted accounting
9 principles, and in a manner which permits City to trace the
10 expenditures of funds to source documentation. All books and
11 records of Subrecipient are to be kept open for inspection at
12 any time during the business day by the City, its officers or
13 agents, and by any representative of the united states of
14 America authorized to audit community development block grant
15 programs.
16 (c) Standards for financial management systems and
17 financial reporting requirements established by Attachment "F"
18 and Attachment "G" of Office of Management and Budget Circular
19 No. A 110 shall be fully complied with by Subrecipient.
20 Subrecipient acknowledges that the funds provided are federal
21 funds.
22 (d) Subrecipient's financial management system shall
23 provide for accurate, current and complete disclosure of the
24 financial results of each program sponsored by this agreement.
25 It is the responsibility of Subrecipient to adequately safeguard
26 all assets of the program, and Subrecipient shall assure that
27 they are used solely for authorized purposes.
28 (e) In addition to the foregoing, Subrecipient shall
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1 at its own expense have the city-funded portion of its program
2 audited annually, and provide to City a copy of the audit report
3 within sixty (60) days after receipt of the report by
4 Subrecipient. Such audit must be performed by a certified
5 Public Accountant or some other independent auditor approved in
6 advance by the City's Director of the Community Development.
7 6. Services Available to Residents; Monitorinq and Report-
8 inq Proqram Performance. The services of Subrecipient shall be
9 made available to residents and inhabitants of the City of San
10 Bernardino unless otherwise noted in Exhibit "A". No person
11 shall be denied service because of race, color, national origin,
12 creed, sex, martial status, or physical handicap. Subrecipient
13 shall comply with Affirmative Action guidelines in its
14 employment practices. Subrecipient shall also monitor the
15 program's activities and submit written reports quarterly, or
16 more often if requested, to the Director of Community
17 Development of the City of San Bernardino, in accordance with
18 Attachment "H", Office of Management and Budget Circular No. A
19 110. Failure to provide such quarterly performance reports may
20 prevent the processing by City of Sub recipient's requests for
21 reimbursement, and may justify temporary withholding as provided
22 for in Paragraph 11 hereof.
23 7. Procurement Practices: Conflict of Interest.
24 Subrecipient shall comply with procurement procedures and
25 guidelines established by Attachment "0" to Office of Management
26 and Budget Circular No. A-102, "Procurement Standards". In
27 addition to the specific requirements of Attachment "0" to
28 Circular No. A-102, Subrecipient shall maintain a code or
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1 standards of conduct which shall govern the performance of its
2 officers, employees or agents in contracting with and expending
3 the federal grant funds made available to Subrecipient under
4 this agreement. Subrecipient's officers, employees or agents
5 shall neither solicit nor accept gratuities, favors, or anything
6 of monetary value from contractors or potential contractors. To
7 the extent permissable by state law rules, and regulations, the
8 standards adopted by Subrecipient shall provide for penalties,
9 sanctions or other disciplinary actions to be applied for
10 violations of such standards by either the Subrecipient's
11 officers, employees or agents, or by contractors or their
12 agents. Subrecipient shall provide a copy of the code or
13 standards adopted to City forthwith. All procurement
14 transactions without regard to dollar value shall be conducted
15 in a manner so as to provide maximum open and free competition.
16 The Subrecipient shall be alert to organizational conflicts of
17 interest or non-competitive practices among contractors which
18 may restrict or eliminate competition or otherwise restrain
19 trade. Subrecipient agrees to adhere to conflict of interest
20 provisions set forth in 24 CFR Section 570.611 and to the
21 procurement rules specified in Office of Management and Budget
22 Circular No. A 102 Attachment "0" in its expenditure of all
23 funds received under this agreement.
24 8. Anti-Kick Back provisions: Eaual Employment
25 Opportunity. All contracts for construction or repair using
26 funds provided under this agreement shall include a provision
27 for compliance with the Copeland "Anti-Kick Back" Act (18.U.S.C.
28 874) as supplemented in Department of Labor Regulations (29 CFR,
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1 Part 3). This act provides that each contractor or subgrantee
2 shall be prohibited from inducing, by any means, any person
3 employed in the construction, completion or repair of public
4 work, to give up any part of the compensation to which he is
5 otherwise entitled. Subrecipient shall report all suspected or
6 reported violations to city. All contracts in excess of
7 $10,000.00 entered into by Subrecipient using funds provided
8 under this agreement shall contain a provision requiring
9 compliance with Equal Employment Opportunity provisions
10 established by Executive Order #11246 as amended.
11 9. prevailinq Waqe Reauirement. Any construction
12 contracts awarded by Subrecipient using funds provided under
13 this agreement in excess of $2,000.00 shall include a provision
14 for compliance with the Davis-Bacon Act (40.U.S.C. 276a to 276a
15 7) and as supplemented by Department of Labor Regulations
16 (29CFR). Under this Act, contractors shall be required to pay
17 wages to laborers and mechanics at a rate not less than the
18 minimum wages specified in a wage determination made by the
19 Secretary of Labor. In addition, contractors shall be required
20 to pay wages not less often than once a week. Subrecipient
21 shall place a copy of the current prevailing wage determination
22 issued by the Department of Labor in each solicitation and the
23 award of a contract shall be conditioned upon the acceptance of
24 the wage determination. Subrecipient shall report all suspected
25 or reported violations to city.
26 10. Approval of city of any Charqes; Use of Proqram
27 Income. City reserves the right to require Subrecipient to
28 obtain the prior written approval of City of any charges or fees
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7/9/87
1 to be charged by Subrecipient for services provided under this
2 agreement, and of any rules and regulations governing the
3 provision of services hereunder. Program income represents
4 gross income earned by the Subrecipient from the federally
5 supported activities. Such earnings exclude interest earned on
6 advances and may include, but will not be limited to, income
7 from service fees, sale of commodities, usage and rental fees.
8 These funds shall be used first for eligible program activities,
9 before requests for reimbursement, or shall be remitted to the
10 city. Subrecipient shall remit all unspent program income to
11 the City within thirty (30) days subsequent to the end of the
12 program year (June 30, 1988). Interest earned on funds advanced
13 under the agreement shall be paid to the city.
14 11. Temporarv Withholdinq. The Director of the Community
15 Development of the City of San Bernardino is authorized to
16 temporarily withhold the payment of funds to Subrecipients when
17 the Director determines that any violation of this agreement has
18 occurred. Funds shall be withheld until the violation is
19 corrected to the satisfaction of the Director. Subrecipient
20 shall have the right to appeal the decision of the Director to
21 the Mayor and Common Council. The sole grounds for such appeal
22 shall be that no violation of the agreement has occurred.
23 Subrecipient shall file such appeal within fifteen (15) days
24 after such first withholding. The Mayor and Common Council
25 shall set a date for the hearing of such appeal which is within
26 thirty (30) days following the date of filing.
27 12. Records Retention. Financial records, supporting
28 documents, statistical records, and all other records pertaining
7/9/87
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1 to the use of the funds provided under this agreement shall be
2 retained by Subrecipient for a period of three (3) years, at a
3 minimum, and in the event of litigation, claim or audit, the
4 records shall be retained until all litigation, claims and audit
5 findings involving the records, have been fully resolved.
6 Records for non-expendable property acquired with federal funds
7 provided under this agreement shall be retained for three (3)
8 years after the final disposition of such property.
9 13. Property Manaqement Standards. Non-expendable personal
10 property, for the purposes of this agreement, is defined as
11 tangible personal property, purchased in whole or in part with
12 federal funds, which has useful life of more than one (1) year
13 and an acquisition cost of three hundred dollars ($300.00) or
14 more per unit. Real property means land, including land
15 improvements, structures and appurtenances thereto, excluding
16 movable machinery and equipment. Non-expendable personal
17 property and real property purchased with or improved by funds
18 provided under this agreement shall be subject to the property
19 management standards specified in Attachment "N" of Office of
20 Management and Budget Circular No. A-102, "Property Management
21 Standards".
22 14. Termination for Cause. City reserves the right to
23 terminate this agreement and any and all grants and future
24 payments under this agreement in whole or in part at any time
25 before the date of completion of this agreement whenever City
26 determines that the Subrecipient has failed to comply with the
27 conditions of this agreement. In the event City seeks to
28 terminate this agreement for cause, City shall promptly notify
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1 the Subrecipient in writing of the proposed termination and the
2 reasons therefore, together with the proposed effective date.
3 Subrecipient shall be given an opportunity to appear before the
4 Mayor and Common Council at the time at which the Mayor and
5 Common Council are to consider such recommended termination, and
6 shall be given a reasonable opportunity to show cause why, if
7 any exists, the agreement should not be terminated for cause.
8 Upon determination by the Mayor and Common Council that the
9 contract should be terminated for cause, notice thereof,
10 including reasons for the determination, shall promptly be
11 mailed to the Subrecipient, together with information as to the
12 effective date of the termination. Such notice may be given
13 orally at that hearing. The determination of the Mayor and
14 Common Council as to cause shall be final.
15 15. Termination for Convenience. city or Subrecipient may
16 terminate this agreement in whole or in part provided both
17 parties agree that the continuation of the project would not
18 produce beneficial results commensurate with further expenditure
19 of funds. In such event, the parties shall agree upon the
20 termination conditions, including the effective date and, in the
21 case of partial terminations, the portion to be terminated. The
22 Subrecipient shall not incur new obligations for the terminated
23 portion after the effective date and shall cancel as many
24 outstanding obligations as possible. City shall allow
25 Subrecipient full credit for the City's share of the non
26 cancellable obligations properly incurred by the Subrecipient
27 prior to termination.
28 16. Hold Harmless. Subrecipient agrees to indemnify and
7/9/87
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save harmless the City and its employees and agents from all
liabilities and charges, expenses (including counsel fees),
suits or losses, however occurring, or damages, arising or
growing out of the use of or receipt of funds paid under this
agreement and all operations under this agreement. Payments
under this agreement are made with the understanding that the
City is not involved in the performance of services or other
activities of the Subrecipient. Subrecipient and its employees
and agents are independent contractors and not employees or
agents of City. In the event of any termination, subrecipient
shall forthwith provide to the Community Development Department
any and all documentation needed by the Community Development
Department to establish a full record of all monies received by
subrecipient and to document the uses of same.
17. Amendment. This agreement may be amended or modified
only by written agreement signed by both parties, and failure on
the part of either party to enforce any provision of this
agreement shall not be construed as a waiver of the right to
compel enforcement of any provision or provisions.
18. Assiqnment. This agreement shall not be assigned by
Subrecipient without the prior written consent of City.
19. Notices. All notices herein required shall be in
writing and delivered in person or sent certified mail, postage
prepaid, addressed as follows:
As to City:
As to Subrecipient:
Executive Director
Family Service Agency
1669 North "E" Street
San Bernardino, CA 92405
Director
Community Development Dept.
City of San Bernardino
City Hall, Fifth Floor
300 North "D" street
San Bernardino, Calif. 92418
7/9/87
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13 ~~?~tt~#W/
'" Clty Clerk
20. Evidence of Authoritv. Subrecipient shall provide to
City evidence in the form of a certified copy of minutes of the
governing body of Subrecipient, or other adequate proof, that
this agreement has been approved in all its detail by the
governing body of the Subrecipient, that the person(s) executing
it are authorized to act on behalf of Subrecipient, and that
this agreement is a binding obligation on Subrecipient.
IN WITNESS WHEREOF, the parties hereto have executed this
agreement on the day and year first hereinabove written.
ATTEST:
CITY OF ~~--BEJrnARDINO
/ /-. ..-.- . .....----
/;~~:?'::~- .//~A".. e;;"::r-
BY.r--;-~~,4;<;//?,/:';-;~~?----=::,
~yor, 'of the- city of
San Bernardino
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SUBRECIPIENT:
Bce;t.~. ~4pli~.)
. Secre y
Approved as to form
21 and legal content:
22 ^
t ;, 1
23 ;,/t~ "1. lk~
/i' City Attorney
24 / i'
25 riH/lb
0068
26 June, 1987
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7/9/87
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VICfIH SUPPORT SERVICES
FMtILY SERVICE AGENCY OF SAN BERNARDINO
The Victim Support Services Program meets the needs of victims of crime by pro-
viding a team of crisis intervention workers (2.5 FTE) who are on 24-hour call
to the San Bernardino City Police Department and its officers. The team members
respond immediately to requests from the field by a paging service activated by
the police dispatcher, by card referral from officers in the field, and through
telephone calls from victims. The team provides crisis counseling services, ref-
erral for a variety of other community provided programs, supportive assistance
through the witness phase of court involvement and follow-up contacts during the
initial period of emotional trauma upon victimization. The team coordinates its
activity and effort with many existing social service groups, thereby providing
police officers a "one call service," i.e. the officer need only contact the team
for a full array of service and referral information. Upon becoming involved, the
team can then provide all necessary direct and referral service, freeing the off-
icer for other duties.
Any victim of a crime that has been reported to the City Police Department is a
potential user of Victim Support Services Intervention. Team focus is on low to
medium income referrals, but any crime victim may use the service. The team can
respond in non-crime situations to assist citizens in the following situations:
suicide and attempts, emotional trauma at traffic accident scenes, assisting
senior citizens who contact law enforcement for a variety of non-crime related
problems and fears, non-criminal death situations where officers are called to a
scene and feel the need for crisis counseling services until clergy or other
family members can arrive to provide support and assistance, and temporary in-
volvement on an emergency basis with lost or runaway minors. None of these situa-
tions involve "crimes" but are covered by the contract for our services to the
police department.
Funding of the program shall: Provide direct and referral service to 204 persons
(Average of 4 contacts @ person); provide a minimum of 21 ~informationa1 presen-
tations to police officers at watch change briefings, make a ~inimum of 87 contacts
at the police operated Community Oriented Policing (C.O.P.) offices and partici-
.pate with ~he liaison officer assigned to the program by the police department.
The Victim Support Services Program shall be under the supervision and control of
the Family Service Agency of San Bernardino, a community based non-profit, public
benefit corporation with 41 years of experience and history in the City and County
of San Bernardino. In 'addition to monitoring and auditing functions required by
the contract, the Agency Board of Directors reviews information on a regular
monthly basis through its regular meetings and by reports from the Executive
Director, Director of Professional Services and Director of Administrative
Services.
The Victim Support Services Program will use funding from the City of San Bernar-
dino, Community Development Block Grants, to operate the program from July 1, 1987
to January 31, 1988. Continued operation of the Program beyond these dates will
be dependent on funding provided by the City of San Bernardino.
ELF: 5/30/87
7/9/8,7
EXHIBfT IIAII
1
PROPOSED BUDGET
July 1, 1987 - Jan 31, 1988
VICTIM SUPPORT SERVICES
FAMILY SERVICE AGENCY OF SAN BERNARDINO
PERSONNEL
Outreach Counselor
Outreach Counselor
Outreach Counselor
Clerical Support
( 1 . 0 FTE)
( 1 . 0 FTE)
(0.5 FTE)
(0.07 FTE)
ADMINISTRATIVE EXPENSE
Clinician IV, Program Supvr.
General Admin. Expenses
(0.15 FTE)
(0.09 FTE)
FRINGE BENEFITS AND MANDATED TAXES
(FICA, Health Insurance, Retirement, UIB)
Outreach Counselor Fringe Benefits
Outreach Counselor Fringe Benefits
Outreach Counselor Fringe Benefits
Program Supervisor Fringe Benefits
General Adminstrator Fringe Benefits
TarAL STAFF EXPENSE
OPERATING EXPENSES
Facility Charges (rent, renovations, utilities,
equipment usage, etc.)
Accounting Services (Contract Services)
Audit Expense (Contract Services)
Telephone and Pager Service (Contract Service)
Office Supplies
Postage
Printing, Publications, Reproduction
National Family Service America Dues
Insurance (Mal-pratice, fire, Workman's Comp.)
1Iisce llaneous
TOTAL OPERATING EXPENSE
GRAND Tar AL
Less United Way Revenue
FUNDING REQUEST FROM CDBG
Prepared by: Family Service Agency - May 28, 1987
EXHI8IT "S"
9 , 869. ~_ (
7 ,364. J:"
4,700.
299.
3,157.
2,334.
2,492.
2,220.
1,253.
5 79. .
400.
34.667.
2,072.
1,517.
467.
817.
217.
38.
227.
583.
292.
49.
6,333.
34,667.
6,333.
41,000.
1 , 000. .
40,000.
7/9/87
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,. .~~ .~':;~,:..'>~~2'~~~7~1;{:~~~~~~ES ",:.. : .:.. . .... . ·
- <. OFFICE OF MANAG'EMENT AND .... ba-m-,.&ciiraDt..uz.d....l00.. ~:':"''=-=':':::'~:-(j
. BUDGET, 000. _ftt-tn-&1d funds. pendlnr tMtr d.1Ib\U1l4 '.
..... .'.. ;',.:' 'h" ProvIsIOn that title to ieaJ ~ ;,;;;;. few pt'OplUI1__ '.
.'. '.' .,CIniuJ.r Ro. '" -1_ -,. ':. en,.. funded partI:y or wholl:r by the1"ecl- -', . ~ "TAn AaRe-r
UNlroRM ADMINISTRATIVE REQUIRE-' era! Gove=enl ahal1 vest In the recJp.. " IIoc "' Jr~thstandlnr &%:1 other Pod,
MENTS FOR GRANTS.IN.AID TO STATE lent. ". ...
AND I.""AL GOVERNMENTS - ,'1' A revision to the cnteria lovern1nc eral law whIch provtdes that a IUlr1e State
~ when a rrantee may keep nonexpendable -qency or mUlt1member bo&rcl or COmm1ss1on
.. A17GUS'l' 2.. 1971. prona- Without reimbursement ,to the mug be fttabllahed or des1gnated to &Clmln-
_....J later or aupen1ai th. &c1m1niatraUon of AnY
L ~e. This Circular prom~tes . Pedera1.GovermneI1t when it is no lonler rrant-1!l-&1d prosram. the he&c1 ot &ny Ped-
aiandazda for esta.b1lshlna ccmslsteD",. Deeded for any Pederal proer&m. oral deparlmeD, 01' .....'" """"''''''''''1
and unJ!orm1ty amonl Fed.eraro.,enc1es . . Backgrou.nd. ~e standard.! in- such ~ may. upon nqueat-ot the Go.-
in the anmfTlt..,tratlon of arant& to State. cIuded in the attachments to this Clr- ernor or other appropr1&t. execut1ve or leg-
local. and federally r!COiDiZec1IndiaD_ cular replace the multitude of v~ 1alative a_thonty of the State respona1b1e
tl1baI IOYemmenta. Also Included In the . and oflentlmes confllct1n~ requirementa ~~=: s=..~":r=~
Circular are standards to insure the con- in. the same subject matter which have the I1nCle State qeney or mUltimember
s1stent implementation of section!.. 202, been burdensome to the State and local bo&Z'd or comm1ss1Ol1 pro91a1011 upon &4e-
203. and 204 of the InteeTovemental eo- ,overnments. Inherent m this stand-' quate Ih~ that wch provt.a10n pr'nlntl
operat1nn Act of 1968 '82 Stat..1l01'. arcUzation proCess 15 the concept of plac- the est&b1.1abm.nt of the m08t effective Anc1_
2. SUPft"Seuion. The President by ~- . mll1'ftter reliance on State and local dc1ent orpn1zat1on&l arranrementa within
.~ ecut1,ve Order 11717 transferred the func- aovernmenta. In add.1tion. the Interrov- the State IOftrnment and approve other
t10na covered by OMB C1rcular No. A-I 02 ernmental Cooperation Act ot 1968 was State &Clm1n1atrat1.e structure or arrange-
dated October 19. 1971. from the Ot!lce ftfll-ed,'- Part- for u"e P"--'oses of: 'a' Jnenta PrO'OilUd. That the he&4 ot the Fed-
Om - .u.l . IoU - ~ en.! department or agency determ1nes that
.. or Management and Budget to the - AchJevinl' the fullest cooperation and the obJect1ves at the Federal statute author-
eral Services Ad.ministrat1on. OMB C1r- COOrdination of activities among levels of Szmg the rrant-ln-&1el program ..11l not be
-- cular No. A-I02 was reVised and issued as lovernment:' b, lmprov1ng the adm1n- en.c1a.nprec:1 by the use ot lUeb other State
o . Pedera.l Manal'ement C1rcu1ar 74-7 da~ l5traUon of rrants-m-a1d to the States~ structure 01" arran.gementl.
' . September 13. 1914.. On December 31. and.", establ1sh1ng Coordinated Inter- Some of the above Provlslollll requlre
. 1975. the President superseded this onter JOve=ental"poUcy and admInJstratlonimpJementlng 'lnstructlollll and they are
by Exe .utlve Order 11893 and transferrod of Pederal asslstance PrOeram: Thls Act proVided In several of .the attachmenta
the functions covered by this CJn:uIar . provided certain basic poUcl.. pertalninc ~._~ d al With th
- bact to the omce of Management and to ad"'lnjstrallve requln!menta to be Im- ~=;~tt.;~ e e .pe_
Bwla"et. PMC 74-711 rev1sed andrelasued 'poaed upon the Slales aa a condition to 8 AWlicabfllty 11114 .~. The stand-
under Ita orIg1nal d..1llnalJon of OMB recelvlnr Pederal eranta. The !mple- anla promulgated by thla ClrcuJar apply
Clrcular No. A-I02. '. .' mentlng lnatructlona of these poUcles to all Pederal.qencl.. respolllllble for
3. Sum1MTll 0/ aign!!Iccnfcha7l/1es. were Inltlally Issued in CIrcular A-98, "'m'n"tenntr 'prorrama that Involve
The rev1s!d C1rcular contains chUlfe& These 1nstructJan.s are moc:1Uied. herein in to State d 1 al ts
that brln~ It Into ~eneral aereement with the Interest of ach1ev1ng further con- ~~ederallY rec~llIliz~ :'~al
the more recent C1rcu1ar .\-110 wlllcl1 IIatency In Inlplemenllnr that Act. JOvernmenta. However. &i'encr.. are en-
o covers rrants to uniVers1t1es. h~p"l~ ;67". Applicable prcnri8iom 01 tM Inter- COW"Baed to apply the standards to loan
and nonprol5~ ~tIona.. clude'. -QOWmm<mtaL CooPerllUon Act 0/ 196.. and loan lIUarantee PI'OlmUllll to the ex- .
. The more. I>',-canl,chanps.1n . Pederal &i'encl.. shall conllnue to fol- lent Practlcable Jl the enal>l1q legla)a-
- .ai An amendm"!i:1t to the buS<<: C1r- low the provisions ot the Act, quoted tion for a spec1ftc erant ProaTam pre-
ruJar to m:a.te it clear that the prov1slona below:. . . lCr1bes-pollc1~s or requirements that d1!-
of the' attachments shall.be app11ed to . .,- ~ or O&&Jn'S-Dr-Am - fer frot; the standards provided he~1n.
subarantees except where they are -- the provfslona of the enabling legla)atlon
c111cally exclUded -. . . See 202 No srU~ln-&14 to a Sta~ Iha11 shall lOVerIl. Except. where they are spe-
, .1)1 A. provision tb&t Federa1.a.g~1es be reqU1red- by Federal 1&w or &c1miJ:U5tra- c~y excluded, the ~rov1s10n.s ot the
ma~ accePt t.he bond1nl pollcies and re- UTe re&'U1&tlOn to be c1epOlltec:l In a separate attachmentl of this CIrcular shall be ape
J bank &cCOWlt apart tram o~er tunc1a &elm1n- _f..... ub
. qu1rement.s ot the arantee tor construe- tatenc1 by the State All Pec1eraJ p-ant-ln- .P11ed to subcrantee.s perfo.~ s _
tion contracts over 1100,000 provided &1cl tunc1a made anUable to the States shall. stanttve wort under rrants that are
that. the Government'a. .interest-1& &de-. :a. properly &CCOUnUc1 for.. Pec:leraJ tunc:la 'passed throuah or awarded by the pn-
quately Protected.. --~ - .' "- in tbe &ccoa.nta of the State In each cue ma.ry srantee if such subira.ntees &re
· C J A revision to the er1terion for the the St&u IpUCY concernec:l Shell render reg- States. locaJ rovernments or federally
ftJuat10n of danated. real and pencm&l- war authent1catec1 reporta to 'the a.pproprt- 'recoenJzed Indian tribal rove.."'%Uiients u .
- property to PJ'OV1d~ that the value of ate hc:leral Agency eo..nnr the status &net de1inecf 1D P&nCr'aph 7
IUCh PI'OPert:r aha.11 be based on f&1r, the '&ppJ1caUon of the fundi. the 11&bWU_ 7 IHlb&UIafta. Por the purposes of this
. ~...._.., oI"'f_.,__ anc:l obllCat1ona em ha.nc:l. and lUeb other
market value. The o..~~ "'....,,~ pro- facta... may be reqU1rect by aid rec1eraJ C1rcu1ar: ,..
Vided that property should be based. CD . acency The-be&dot the Pederal agency aDd I &J The terDi "Jr'lLDt" - or "rra.nt-tn-
the cost ot the Property lass depre'1&- the Comptroller General of the tTndtec:l States aid'. means -mcine7. or property m lieu
t10n or fair market. ftJue; wh1cheVel" lIVU_ ar &ny of 'theu. stuJy author1zec:l represent- ot monf7.' paid or furn1.s.hed by the Fed-
leu;- ~. ". atlves ahaIl h&n aceesa .for the purpose of eral Government to a 'State., local, or
o -(1.. A P1'OV1s1on that' grantee audits auc11t and ezam.tnatSoc to &ny boob. cIoeu- federall1' recOltlJ,zed Ind.1an tribal lOV-
should be made in accordance with len- menta. papers. &nc:l recorda that Ant perU- -ernment under procrams that prov1d~
eralJy accepted aucUtin, st.an.dan1t, IW:1t to the crant-ln-a1cl ftCe1ftcl by the Ananc1a1 assistance through grant or
1nc1uc11nC Standards for: Audit of 8tate&.. - '0 ~ . contractual a.rri..niements. The term does
Governmental ~an1zat1ona, Prorrams, ~(J ar PDa.u. TLufsn:u t'O 1'JQ . not 1n.clude techn1cal a.ss1stance pro-
Activittes and Functiona, published .~,. . . SU7u rra.ma whJch prov1de services iDstead of
the Oeneral Account1ni emce. .' See' 203. He&d.a at ~er&1 depa.rti:nmta a.ncS money or other a.ss1stance m the form
· e' A proVision to require Pederal . qencies reepons1bJe tor &c1m.tmatertng grant- of ieDeral revenue sh~. loans. loan
acencles to pay With1n 30 days after the in-aiel programs shall echedUl. the t:ra.n5fer- ruarantees.. tnaurance, . or contracts
receipt of bWina when the re1mburse- ot rra:n-ln-&1c1.tuncSs. consistent With pro- which are entered into and A.rlmf1"lio::tered
ment method 1s used. '0 IftJD purposes and appl1ca.bl. Trea.sury rer- under P%"OCUreme!nt laws and regula,_
· t 1 A revision to the cr1ter1cm for 18- UlaUona. so .. to '"'~t""'f9f' the time eiaps.tng t1ons. .
sua.nce of a letter of credit from $250 000 between the transfer Of wch tuncla from , b 1 The tenn "State" means any of
. 0 · the tTn1tec1 States Treuury ed the d.1sburse- - ed St ._
to $120,000. - ment thereof by a State. whether such c11a- the several States of the t7n1t a~,
t.' Deletion of the ret:IU1rementa for bursement oecura pnor to or wbsequent to t.he Dlst11ct of Columb1a., the Common-
~tees to obtam. prior_approvals for wch transfer or taDda. ell' aubeequent to wch wealth of Pues::to Rjco. any territory or
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PlDEIAL' UGJSTII. VOL' 42.. NO.' 176-MONDAY, SlPTEMln 12, 1'77
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- pc.. ! I lion of the 17n1ted. States. or ~ reclPimt at tbe same tI.IDe the recip1ent AnACBJlD": B-CractrL.\Jl ~o.' A~tg2
~ 0Ir 1DstrumentaJ.1ty of & State ex- is noW!ed.. ' - aon:aro AM) ~
~ustve of State 1nst1tut1ona of!Ulber 11. ~tfa. AiendeI respcm- -.. ,
education and ho6plta1a. I1ble tor tlrlmmicterml Proaraml that m.. 1. This attachment sets forth bondJ1:2a
. (d The term "local lovemment" 'I01ve l1"aDta to State and local aovern- and 1nsura.noe requ1rements for arants.
means a local unit of IOvemment m- menta &hall issue' the approprtate No other bond1na" and 1n.sura:ace reqU1re-
clu.cUng s~ca.lly a county, mun1c1pal- resuIations necessary to implement the menta ahA1l be imposed other tha.n those
Sty. e1ty, town. townsh1p.1oca1 puhUc au- prov1s1ona of th1s C1rcular. All portions DOrmalIy requJred b,. the srantee.
thortt7. achool district. .pec1&l d1str1ct. of such reaulat10ns that involve new- 2. Except u otheIwise requJred by law.
mtn.state d1str1ct. counc.1l of,tovem- Repine and/or report1na requ1rementa a It'&I1t that requtres the. eontra.ct1nc (~
me1its. sponsor Il'OUP representative or- subject. to the proV1s1ons ot the Federal IUbcontractJn&) for construction or tl.-
pn1mt1on <101 de.O.ned 10 '1 CPR 120.2. Reports Act and OMB C1rcular A-40 c1l1ty !mprovemmta shaJ.l provide tor the
~ PRo 12472. March 19, 19'15) and other must be submitted to OMB for clearance erautee to foUow its own requirements
ree1cma1 or interstate lovermnent entity. 'before be1na" used. tJ'Pon request aU rel- rel&t~ to bid suarantees. P!rforma.nce
.. or any aaency or 1nstnunentaUty of a -ulations and 1nst:ructfon.s impIement1ne bonds. and payment bonds unless the
Joca: IOvemment exclus1ve of mst1tu- this C1rcu1ar sha.U be turn1sbed to the construction contract or subcontract ez-
Uons of higher educat10n and hospitals. Omce of Manaa-e:m.ent and Budiet. A&en- ceeds '100,000. Por those contracts or
(4) The term "federally 1"eC08I11zed ~es ahall also des1lDate an omc1a1 to IUbcontra.ct3 ex~ '100.000, the Fed- .
Indi&D tnba1 IOvermnent" meana the serve as the aaencY representattve on era.l &pnQ' m&J' &i:Cept the ~
aovem1ng body or a iovemmentaJ aam- matters relattnw to the implementation pelle,. and requ1rements of the rra.n~
f:7 at any Ind1&n tribe. band. nat1on. or . of t.h1s Circular. U th~ name and title proVided the Pedera.l q"eIlcy has made
. -' othe:' orp.n1zed &rOUP or commumty Un- were previously transmitted. not11ication a determ1na.t1on thaJt the Government's
;..:" - C1u.d1na &D7 Native 'f111ap sa det!ned m to the Otace of ~anagement and Budpt interest 15 adequate17 protected. If such
.... . Sec:tUm 3 ot the Alaska. Nattve C1afm.a Sa reqUired only when there Sa & cha.np a determ1natton ha.s not been made, the
- ~ent Act. as stat. 888) certUled by. m t.h~.des.1lnated representative. m1nim,UJ1 requ1rem.enta ah&1l be as fol-
o . . the Secreta.r7 of the Inter1or' aa ella1b1e 12. Inquiries. -Further U1formatton. lows: . . 0 ....~.
. . - '. for the spee1al ~ and' aen1.ces. concern1nC thia C1rcular ma,. be obta1ned "'(a) A bid ~u from each bidcle1'
". prov1dec1 by him tbroUIh the Bureau of . b,. contact1n1 the Financ1al Management equi~alent to /fr,e percent of the bid price.
Ind:1An MaiD. -. "',.: '.~. Branch, Budget Review DiV1a1on, Otrlce. The "bid r.a.rantee" sh.a.ll COIWst of a
I. Attachment.f. 'n1e standards pro-' .of ~ent and BUdret. W~-' 1irm commitment such u.a bid bond.
mulpted by th1.s C2reular are set forth ~ . D.C.. ~0~03t .tele,pJ:1one ~.95-4T'l3. cert11ied check. or other ~ot1a.ble in-
. In the attachments. wh1ch are:~ .' - .~, ..~~. '. '. ',' 0 '.~:~.~., 'BD~ LAxcz.., Itrument accom~ a bid as 8&1W'-.
\1L Atf.U""".~t A-cash depos1torte&." ',.~, ~ .:'..' .- ,......~. . ", . ...~. ,'-. ::Director.' a.nce that. the bidder w11l. upon accept- .
f)t--~ Attadlme.nt. B-Bonc11ng. a.ncl 1naun.Dce. . ., ',~ A~'A~'~ NO; A-102 '. ~ &nee of his bid. execute such contractual .
-.. Atta.chmeni C-RetenUou ~ cnutoc11a1 re-. .~ .. ..- ~ '. c::locum.!nts as may be.requ1red wtth1n
. . qu1remantl for records. -' ' . ~ ". . ,.-. "". CASK .DEPOSI'%OBD:S .~.~ the time speeUled.' . .
. :: ~;~:;'.~~':::r_at.~.. ~...' ';l>Thia 'attacbment Sets forth stand- . (b) A perlorm47&Ce bond on thef)art
,.~ 'Atta.chment E-i'h>5'..m moom.. - .;:-. :.~/~. &rdi. aoverning ,the use at bankS and OfthtTt! contrt .....~A !.Of'rt100 .per~~~ the
. - Attac.hmenTr P-Ma.tchJnc Ihan. .......0... ~_~er institutions as d.epcxs1tor1es at funds con ac 1" _e. ,pe orma.n.ce 1oIUULI" is
Att&chment o--.et&.DdanSa for cramee ~'. adva.nced under crants. '" ,... .. one executed in connect1on w1th a con-
. cI&l h~t 1JStemL. .... 0 . ~ 0 J. 'Except: for sttuat1onsdescrlbed. In tract to secure fnl~11m~t of aU the eon-
. ~..~ .B~ ~ ~ .- .P&raarapba.3. .. and ~.no ~tor aae~ :. tracton obllptions lU1der such contract.
, ".. .u+,,.h9ftAnt"'!--Ilomtariq' aDd ~~.... aha.I1:' . ...' -!,--'. ...:< '...,.... :'~ .;.... .. .(c)." f)a)'1Mnt bond Oft thef'art of
~ performance. . : ", .; .;. .,~ ..... (a) Require' physical seeregation of tM contractor fa: 100 f)e1'cmt ~ 01 the
, At1'--"'ft'\.~t f-Gn.Dt paymmt.. nqwn- cash depas1tor1es fOr funds -wh1ch are contract flTlce. A payment bond JS one
.:;.. ..met&; : . ...,.. :',. :". - '~., .... .... ., . '.' execUW:,d in connection wtth a contract
.., :. -:. At~J:lt E--Budilt ntvWou pi'oCeduN.- :.. pronded to a ~tee.. .' . ' '. . Co assure payment as required by law Of
-:..... At'ta.e.ment ~ra.Dt c101eOut procec:lu.ra , (b) Estab1lsh.. any el41bllity require- an persons 8UppI~ labor and mate-
., . ..&.tta.chm.nt Jl-8tancfanl forma tor appl1-~ menta for cs.sh. deposttor1es- for. tunda . r1a.l U1 the execution of the work Pro-
. ~"., m.~:-~UWt&De.. .'",. --~~". '~":""'~&reprov1dedtoacrantee.. ., 'f1dedforinthecontract. '.
.' Atr--__ftIt -If ~~..:~t. .,,3" . separs,te bank account shaU be '3; Where the Federal Governmmt
, p..A~~.;~..:.';h-.:c..: to :;, '.requ.tred when appl1cableletter-of-cred1t auarantees or 1nsures the repayment of
.. .."...' ~. .. .. -' ..' . '., .', agreements proytde that drawclowns w111. money borrowed by the ,rantee, the Fed- _
I. Bequuts lor t:c~.. The omce be made when the inUlf.ee'a checb are era! arency, as its cUscret1on, may re-
. Kanaaement.and Budget may erani ex- pnsented to the bank for payment.. quire adequate bend1ni and insurance U
ceptioDs. from the requ1reme17lU ot this ... A:D.7 moneyS advanced to .. a:ra.ntee the bond1ni and 1n.surance requirements
. CSrcu1ar when perm1ss1blfi underex1st1nr wh1ch are subject to the control or regu..:; of the rra.ntee are not deemed adequate-
~ ~ Jaws. However. in the interest of tee'P1n&' :-lat1on at the U'n1tec1 States or 8!17 of Ita to' protect. the interest Of the PederaI
" UlUform1tJ' to the maximum extent. den- otrlcers.. &Cents or employees (publ1c Government.
. : ~from the requirements of th1s Qr- . moneys"U ~ In Tre8.sWT Circular ... Wher,e.. bonds are reqWred m the
0, culat w11l.be permitted .only br:..~. No. 178. aa amended) must be deposited I1tuatioI1& described above, the bonds
ti~ cases.. .. .- .. . .' . m . bank With Pedera1 Depos1t Insur- sha.ll be obtained from companies hold-
. 10. E:eptUma fOT. ~n reci11lentl. &nee Corporat1on (FDIC) Snsurance cov- ina certUicates ot authOrity as accept-
Notw1thstaTu:U%l8' the prov1sfons of Par&- ab1 1 3 ~ ""3)
IJ'aph 8 if 1m '.appl1<:ant/reclplent . has .. . era.ge and the balance aceed1n8' the _ e suret es ( 1 v& ~ - .
h....___ of "'^"r .......~ormance Ja not ~_ POlC ~e must be co~~ ae- . A'n'Ac:EIlI::E1n ,-..-J"ntC't1LA& No. A-I02
--I r- ........., cured. ,~-
e1aI1y stable, or Its management system . IC'D'nOlf Alf1) C'tTSTODLU. UQ'D'IUXU'TS
does- not meet the standards prescribed I. Consistent with the nat1ona.l 108.1 1'0& ucoes
.. 111 the Circular, Federal agendes ma,. . of ~~tifn8' the opportunities ,for DU-
o .lmpose addit10nal requ1rementa' 101 nority business enterprises, erantees and .1. T'hja attachment sets forth record
. 0 needed provided that such .app11cant/ subgrantees sh&1l be enc~ to use retention requ.trements for rrants. Fed-
. 'rec1p1ent is noMed in. Wl1t1nc aa to: m1nority b&nks (a bank which 15 owned eral JrB,ntor ~nc1es shall not _impOSe
(a) \Vhr the adcUt.1onal standards are at least &0 percent by mmortty rroup any record retention requirements upon
be1.J:l.c 1m;>OSed; . members). A.Ust of m1n.onty owned rrantees other. than those descr1bed
(b). What corrective action 11 needed. banks can be obta.tned from the Otrlce of below. 0- .
Copies of such not1ftcattons shall be Minority Business Enterprise, Depart- 2. F1nanc1a1 record3.auPPDrt2.nc ctoeu-
. . lent to the omce of Management and ment of Commerce, WashmitOn, D.C. ments. ata.t1at1ca1 records. and all other
~ ~~tber aaenc1es ~d1na that '20230. recorda pertinent to a arant aha11 be re-
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flDHAL IIGISTB, VOL 42, NO. 176-MONDAY, SUTlMIII 12. I'"
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Office of Management and Budget Circular A-102 (9/12/77)
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ATTA~ N-craCln..Ut No. A-l02
PItOPDTT 1lUJfAGDlDn' S'UJn)A&DS
I, Th1s A:~ent presC11bes un1!orm
su=ca.rc..s io...ern1n1 the ut1l.iz&t1on and
d1spos1C0:1 o! property furnished by the
F'eCenJ Go\'emment or acquired m
whole or m 'put with Federal funds or
~.bose cost ~ ebaraed to a project sup-
ported by & Federal ~t. PeduaJ
~ tor a.rencies shall require era;atees
to obse:,,'e these standards under rra,:lts
from the Feeefal Government and shall
not Impose add1t1onal requirements un-
les.s spec~cally required by Federall&w.
The iTa.:: tees shall be authoriZed to use
ttle~ Ovo:l p~operty management sta.r.d-
uCs and procedures as long as the pro-
visions of t.h.1s Attn.chment are mcluded.
2, The foUow1n1' d~lt1ons a.pply for
the purpose of th15 Attaclu:nent:
(a) Real J11'C1'PertJI. Real property
mea...~ l&J:lf!. mclud1ng land improve-
ments. stnJct".L""e5 and appurtena.nce.s
thereto. excludine movable mach1ne.J'7
ane! eqwpme:lt.
(b) P~scr.a.l f"operty. Personal prop-
erty of any k:1nd except real property. n
mas be ta.:lpb1e-bav1ng pbys1cal exiSt-
anee. or lDt.&ng1ble-bav1nr no physical
existence. such as patents. inventions.
&Dd copyrights.
(c) N omrptnda'ble perso124l pro-perty.
No:expenda.ble personal property means
tani'1ble personal property bavilll' a use-
ful We of more than one year and an
a.cc;u1s1t1oo cost of $300 or more per unit.
A g:"I.Dtee may use its own deft.n1t1on ot
nonexpenc8.ble personal property pro-
Vided that sucb deAniticm would &t least
mclude all ~ble personal property q
d~ed above.
Cd) E~d4ble perIanal 11'Of'erfJI. Ex-
pendable personal property refers to all
~ble persow property other than
nonexpenda.ble property.
(e) E:cesJ vropeT'tll. Excess property
mea.ns property Under t:he control of any
Federal ~ency which. as determmed by
t.he head thereof. is no longer requtred
for its needs or discharge of its respons1-
bWt1es.
(f) Acquisition cod of purcht1s~ ftOft-
~ble f)er$01I4l f"C1'PertJ/. Acqul-
sit.1on cost of an item of purchased. neu-
expendable personal property means tJ1e
net mvo1c.e unit price of the property m-
c1ue!1nr the cost ot mod11icattons. attach-
me::lts. accessories. or 'awd.I.1ary appara-
tus necessary to mue the property usa-
ble for the purpose for which it was
acquired. Other charles such as the cost
.of 1nst&l1attoJ:.. transportation, taxes.
duty. or protective m-tran.s1t insurance.
shall be included or excluded from the
unit acquisition cQSt m accordance with
the cra.ntee's regula.r accounUnr prac-
Uces.
(&') E:tmpt propertll. Exempt property
means taniible personal property ac-
qUi..'''ed 1n whole or 1n part ,nth Federal
funds. and tiUe to wbich is vested in the
recipient ,nthout further obUp.tlon to
the Federal Qovernment except as pro-
~ed m $Ubp&n.g1"'&ph 6a. below. Such
uncond.1tjonal vesting of title will be pur-
suant to a.nr FedenJ lel1slatSon t.ba.t pro-
+
~ :::::: :::::.
vides the Feden.l sponso~ a.a-ency with
adequate author1ty.
3. Real1JTope-r1l1, Ea.ch Federal IT&Dt-
or arency shall prescribe requ1rements
tor (f'Imtees concerning the use and d1s-
position 8f real property funded partly
or wholly by the Federal Government.
Unless otherv;1se proVldee. by statute.
such requirements. as 8. minimum.. shall
contain the follovoiLl:
Ca) Title to real property shall vest in
the recip1ent subject to the condition
that the rra.ntee shall use the res.l prop-
erty for the authorized purpose f)! the
ori&inal I'r&nt as lonr as needed.
(b) The rn.ntee shall obta1napprovaJ
by the rra.ntor ~ency for the use of the
real property in other projects when
the iT8JJtee determines that the propertY
is no longer needed for the orig1nal rrant
purposes. Use m other projects shtJ.1 be
l1m1ted to those under other Federal
IT'&Z1t prorr&.ms. or programs that have
purposes consistent with those author-
ized for support by the rra,ntor.
(c) "~en the rea.l property is no 10DI-
er needed as prov1ded 111 & and b above.
the rra,ntee shall request cUsposiUon 10-
structions from the Federal agency or its
successor. Federal agency. The Federal
a.eency shall ob5ervethe following rules
in the d1sposit1on 1nstructions:
<1) The lrB.Dtee may be ~rm1tted tp
retain title a.!ter it compenss.tes the Fed-
eral Government in a.n amQUDt computed
by applyinl the Federal percentage of
participation in the cost of the originaJ
project to the fa1r m8.rket value of the
property .
(2) The rrantee may be directed to
sell the property UDder au1dellnes pro-
Vided by the Peden.! ageney and pay t...~e
Federal Government an amount coai-
puted by applying the Federal percent-
&Ie of participation m the cost of -the
orig1nal project to the proceeds from sale
(a.!ter deducting actu&1 and reasonable
s~ and fix-up expenses, it any, from
the sales proceeds) When the rrant.ee 15
authorized or requ1red to sell the prop.-
erty. proper sales procedures shall be es-
tablished. that provide for competition to
the u:tent pra.ctica.ble and result 1n the
h1ghest possible retum.
(3) The erantee may be directed to
transferUUe to the property to the Fed-
eral Government provided that in such
c:a.ses the rranteesha.ll be entitle<! to
eom.pensation computed' by "PPl3'1nc the
fT'&Iltee's percentage of p&.rt1clpa.t.1on m
the cost of the program or project to the
current fair market value ot the prop.
erty .
.. FedD"a1lll . OIDned non~le
p~o~ F~. n~ to f~~
owned propertY rema.1ns vested in the
Federal Government. Recipients shall
submit annually an inventory 11st1ng of
federally owned property 1n their custody
to the FedenJ agency. Upon completion
ot the agreement or when the propertY
is no lonl'er needed: the iTalltee shall
report the property to the Pederal agency
for further &lency utll1za.t1on.
If the Federal 8.gency bas no further
need for the property. it shall be declared
excess and reported to the General Serv-
Federa! G~ants Management Handbook September 1978
A-102:61
Ices Adm1n1strat1on.. Approp:1.ate d,1spo.
siUon tnstrUCtiOIlS W1l1 be 1s.sued to the
recipient &!ter completion of the PederaJ
agency renew.
S. E%tm:Jt J11"~" "Nhen sbtutorj
&uthontr exists tiUe to nonexpen~able
personal property &Cqulred vo1t..~ project
funds shaJl be ve:ted in the r~~::>lent
upon acqu1.s1uon unless it 15 dete::1Ded
that to do so 15 not 1n the furtherance
of the objectives of the Fed.e:"al sponsor-
ing ..gency. When title is "'estee !.""l the
recipient the recipient shall have no
other obligation or accoUDta.bility :.0 the
Feder&l Government for its use or dis-
position except a.s proVided 1Il. 61. belo";l;'.
6. Ot.h.er nonupen.da.ble proper tv .
When oth4!r no~expend8.ble t.a.Ilg1ble
property is &cqu1red by & rrantee with
project funds tiUe shall not be taken
by the Feder&l Govemment but shall
vest in the rrantee subject to the follow-
ing conditions:
Ca) Bi,ht to tra1U/~ title. For items
of nonexpend.able personaJ property
hav1n& a unit &CqU1s1tion C06t of $1,000
or more. the Federal.agency may reserve
the right to transfer the title: to the
hder&l Government or to 8. t.h.irC p&rty
named by the Federal Government when
such third p~ is otherwise eligible
under existiDf statutes. Such reserva-
tion shaJl be subject to the follOwing
standards :
(1) The property shall be appropri-
ately idenu.eed in the rrant or other-
wise made known to the lI'allt.ee 1n
wr1~.
(2) The Feder&l agency shall issUe
cUsposition instructions w1thin 120 caJ.-
endar dayS after the end of the Federal
support of the project. for which it was
acquired. If the Pederal &gency fa.1ls to
Issue dispos1tion 1nstructions Within the
120 caJendar-d8.Y period. the rrantee
s4&1l apply the standards of subpara-
~li.ph 6(b) and 6(c) a.s appropria~.
(3) When the Federal agency exer-
cises its right to take title. the personal
property shall be subject to the provi-
sions for federally-ovmed nonexpendable
property d1.scussed 1n pa.ra.gra.pb 4."
above.
(4) When Utle is transfened either
to the Federal Government or to & third
Pa.rt1. the provisioIa of subpan.gra.ph
S(c) (2) Cb) sh~d. be followed.
(b) Use 0/ other tangible nonupeM-
able FCYP~ JOT 1Dhich the grcmUt h4!
title.
(1) The erantee shall use the proper-
ty 1n the project or prolT&m for which
it was acquired. as long as needed,
wbether or not the project or program
continues to be supported by Federa.l
funds. When no l~nger needed for the
origina.l project or program. the iT'&n~
shall use the property 1n connection o;r;1tb
its other federally sponsored a.ctiVities.
in the following order of .pnority:
(a) Activities spons~red by the S8.me
Federal agency.
(b) Activities sponsored by other Fed-
eral agencies.
(2) Shared we. Durinl the time that
Donexpendable personal property 15 held
for use on the project or program for
w~ch 1t was acC;uired. the ~tee shall
Appendix I
Office of Management and Budget Circular A-102 (9/12/77)
make It ava.Oa.ble for UN on otJ1er proJ- 11 computed b1 &PPb'1n& the pereentaeet,
~... or p~ 1! auc.h other use w1I1 ot the crantee participation 1%1 the CDS
DOt in:.ufue with the york on Ule proj- . ot the or1&'U1alsnnt project or proiT'3m
w:t or ~ lor which the property to t.be c:unent faJr mazket value of the
.u o~ acqu1red. nrst pre!ere:1Ce propertJ.' plus any reuona.ble shiPP1ni
for IUCh other use s.b.al1 be"a1ven to other ~.1nter1m stora,ee costs ~un-ed.
projects or pro~ sponsored by the " . (c) It the erantee 15 instructed to
. Pede..-al &cency that 4II'1"\ant'".ed tbe'prcp- otberw1Se ~ of the property, the
em' seconc1 preference ahall be J1ven &n:1tee sbaJl be.re1m~uned by the Fed-
to" ~jects or programs spcmasred by era!- agency for JUCh casts 1ncu.~ in
other Federal ~1eL U. the ;lroperty its cUsposlt1on.
a' owned by the Federal Govermnmt. (c:1) Pro1'erty mana.g~ st4TJ.d.t:rds
use em ot.i.ar'acUV1ties not sponsored by lor noM~bZe property. The ~t-
the Fede..""&! Government sball be per- ee's p~ ms.na.gement sta.nda.rds for
m1ss.1ble 1! authoriz.ed by the Federal nonexpenda.ble personal property shall
ace.ncy. . User cha.rreS should. "be con- 1nclw1e the f( .~w1ni procedural require-
a1dered 1! appropriate. . ments:
(c) Di.rpoIition 01 other ftOfte--pmd- (1) Property records aha.11 be ma1n-
GbU fW~. When fibe' a::ra.ntee no tamed &CCUrB.tel3' and sb&1l 1nclude:
10npr ~eed.s the p~ as prov1ded (a) A descnpt10n of the property.
In 6b. above.~ the property may be used 'Cb) Manufacturer's . ser.al number.
for other actint1es in aceorc1.a.nce 'with model number. Pedera.& stOCk ~umber.
the foDow1:1g st.a.nc1.a.n1l: nat10nal stock number. or other 1den~-
(1). N~ property with a cation number.
-un1t acqWs1t1on cost. of leSs th&Z1 $1.000. (c) Somce of the p~ tl tnelud1n&
Tha ~tee may use the property for crant or other ~ent number.
other act1v1t1es without re1mbu1sement (d) Wbether title vests 1n the gra.n~
to ~e Peden.l Government or aell the or the Feden.l Government. .
propert3" and reta1n the proceeds. . (e) Acquis1~on. da.te (or date received.,
(2) NonapendAble personal.propert;:v Sf the property W&$ furn1shed by the
wtt.a a unit &cQuWt1on cost of $1.000 or Federal Government) and cost.
more. ~e ~~ may ret&1n the prop- (f) Percenta.ge (at the end ot the
em for other uses provided that com- budret year) of Federal part1c1pa.tion 1n
~ 'ion 15 made to the o~. Federal the cost ~ the project or prorram for
&(reOey or j~ IUceessor....Tbe amount of :J1Ih1ch the property WLS acqu1red. (Not
com~on shall be computed by &1>- appllca.ble to ';lropert}' turnished by the
p~' the percentage ot Federal par- Pedera.l Govermnent.) .
tlc1p&tfon 111 the.cost of the 0ria1n&l (c> Location. use. and condlt1on of
Project or ~ to .the current f&1r .the property And the date the 1n1orma-.
m.anet vaJue of the property. If the tion waa reported.
J%'&%1f.ee has no need tor the property and (h) Unit acqu1s1t1on cast.
the property has further use \'SLlue. ~ (1) Ult1.mate disposition data., iriclud-
ara,ntee shall request d1.spolSltiOD lnstruc- 11)1' date at disposal and sales price or
ttons t.-om the orU1nal crantor a.gency, th~ method used. to determine current
~e Pederal agency sbsI1 detem11ne fa.1r market value where a arantee com-
whether the property can be used to pensates the Federal agency_for 1u share.
meet the qe:lcy's requ1remen~ U no (2) Property Owtlecl. by the Federal
reQu1rement emu with1n that acency.. Government must be marked to 1nc11-
the avaUabU1t1 of the ~ shan cate Pec1era1 owners~
be reponed. 1%1 aecDrdance with. the " .
ru1delmes of the Federal Property (3) A physlcaJ Inventory ot property
Kana.ge::2ent Regulations CFPMR>. to &haJ1 be taken-and the ~u reconciled
the Ge.t1en.1 3en1ces Adm1n!stration b7 wttb the prope:ty records at ~t once
the PedetaJ a~cy to determJne wbether every two years. Any ~erences between
a requre:nent for the property emts m qua.nt1t1es determined by the physt:N
other Federal ..,.enc1es. n1e Pederal 1n.s~on and t.bose shown in the a.c-
apney shall issue l11st:n1cttons to the coun~ recor9s sball ~ 1nvestignted to
I%'BZ1tee DO later than 120 days &fter determine tlie .causes of the ~erence.
the cra.rrtee request and the f~ The aran~ shall, In connection with the
procedures Shall J'(n"erD: inventory. ft%'U)' the existence. current
(a) U so 1nstructed. or if d1spos1t1on ut1l1zation. and continued need for the
lDst:-;1ct1ons are not issUed within 120 p~ tJ.
e..l..,~tLI" dan after the crantee'a re- (4) A control system shall be 1%1 dect
QUest. the. era.ntee sh.tJl sell the prop.. to In.sure adequate sa!egu&rd.s to prevent
e:t1 c.c! reimburse the Federal ~cy loss. c1aJ:c.a.ee. or theft of the property.
1m amount computed by &ppb'lnr to the ~ loss. da.ma.ge. or theft of nonex-
&ales proc~ the percentage of Federal pends.ble property shall be investigated
'Pa.rttd:-t1on 1n the cost of the or1l1na1 and tully documented.: U the propertY
project or program.. However. ..the was owned by the Federal Government.
an.ntee "shan be permitted to deduct the srantee sh&U promptly notUy. the
&nd reta.:n from the Federal shlU"e 1100 Pede1"&l~.
or tc percent of the proceeds. whie- (5) Adequa.te maint~"tln~ procedures
ever 15 ~te:'. for t!:le sruitee.s lell- shall be implemented to 'keep the prop-
m. cd "."rl"~i expenses. ertr m IOOd condition.
(b) 1: the. erantee is tnstructed to <e) Where the rnmtee 1.5 aut.~orized
Ih1p the ~ropert7 e!sewheft the It'3Jltee or required to sell the property. proi)e:"
ah3Jl be re".mbursed by the beDet1~ aaJes procedures shall be established
Peden! ....c.cy w1t.h &n &mOunt. ~b1ch which would pro\1de tor competition to
A-102:62
the extent prs.et1cabl.e and. result in the
h.1;;best possible retu:u. .
7. E=-:tefllta.b~ perscma.l 'Pf'01'm:l. T'1:.le
to ~le per.sonal prt'p.eny sha.l!
vest 1n the ~tee upon a.cqujs1~~n. I!
there 11 & re51dua.l mveJ:.tor: ot such
~roperty ex~..mg $1,000 1n total ~
~te fa.1r market. value. upon terc..1:::la-
tion or completion of the (p"8.l1t &nd 1!
the property is not needed. tor &cy ot:le
federa.ll1. <<poasored project or p~
t:1e rra,ntee shaJl reta.1n tOe property tor
use on nontede..-ally .sponso~ed. a.ctiYit1el.
or sell it, but must m eit..~er case. com-
peosa.te the Federal Government tor iu
shL'""e. Tbe amount ot com~on &ball
be computed in the sa.ce. manner a.s
nOnexpendable personal property.
8. InU1ngib~ fWOfJer'tll.
la) ImHmtions cm4 "cte7L~ It any
p~ produces patentable ttec.s.
pate:1t rights. processes. or bvenUons.
in the course of work $'pOQSored by the
Federal Government.. such fact shaIl be
promptly anc! fully reported to the Ped-
era! agency. Unless there 1$ & prior &.&Tee-
ment betw~n the rrantee and the Ff'd-
eral agency on d1spos1tion of such items..
the Federal &iency shaJ.l determine
whether protection on the tnVe!1tion or
cUscover,- shall be sought. The Feder.&1
~ w1.ll aJ.so Jet.enimle how ~~e rights
in the invet1t1on or discovery. includ1ng
rithts under a.ny patent Wued thereon.
shall be a.n~~ and a.dm1nistn.ted 1n
order to protect the public ~te~t con-
s1stent W1th "Government Pate!lt Poller"
(P:'esident's !r1emorandum for Heads Of
~ecut1ve Departcents and A&encies.
AUiUSt :3. 19'71. and sta.tement of Gov-
ernment Patent Policy as pr1nted In 36
Fa 16889).
Cb) C01'vrights. Except IS othe.~e
proVSd~ in the terms &nd condit:ons of.
tbe ~ent the author or t.~e g:-antee
orp.ni%a.t1on is free to copyright any
books. publications. or other copn1ght-
able ma.teria.ls developed 1:1 t..'1e course of
or under & Federal a.gree:nent. but the
Federal a.eency shall reserve & roya1ty-
free nonexclusive and L~vocab]e right
to reproduce. publish. or othenrrtse use.
and to &uthoI"'.ze others to use. the wort
for Government purposes. . -
9. Ez.ce$$ perscma.l Pf'01''-Tt1t. When
title to excess property is vested 1n grant-
ees suc..~ pro;:>ertj shall be accounted for
tLnd disposed of 1n a.oconin.."'1ce With para-
I1'8-phs 6(c):md 6(d) of this attacl1ment.
Arr.lC:1D(DfT ~I1C17LA1 No. A-I02
P.~ STANDARDS
1. Th1s Attachment prOvides standards
for use by rrantees in e.sta.bUshtng proce-
dures for the procurement o! supplies.
equipment. constr'1:ction, and other serv-
ices with Federal grant funds. These
standards are. furn1shed to insure t.h&t
such ma.ter1a1s and services are obtained
in an etrect1ve manner and in compliance
with the pro\isions of appliCable Federal
law and Executi~e orders. No adetior.al
re<;u1re:nents ~ be 1I::lposed by the
PeCer:al agencies upon the grantees un-
less spec~calh' reqm:ed by F-edenJ 1&",
or Execut:\'e orde."'S.
2. The Standards contained in this 'At-
ts.c.h.:nent do not relieve the g:-ar.tee ot
the contractu..l responsibilities :u-is1nr
,r'::
Acopnrlix I
Office of Management and Budget Circular A-102 (9/12/77)
under its cor-tracts. The IT'8J1tee Is the
respo:ulble aut.r.o:1tr, without. recourse
.........:::.. to the ~a.ntor &ie::lCY rep..rcllna' the set-
tJe:De:lt ~C sat1s!acUon of all contrac-
tual &:lei ~~m;"'!~:-ative 1Ssues aMs1nc out
ot procurements entered into. in support
o! a .-rant. This Ulcludes but is not 11m-
it.ed tD : d.is;>"..:~. claims. protests of
a~a.rc1. soq,rce evaluation or other mat-
ten 01 a contractual nature. Matters
COIlce..--:::Uni \1olatior. ot law are to be re-
tt:':-eG to such local. State. or Federal
authority as--ma.y have proper Jurisdic-
tion.
3. Grantees mAY use the!.%' own pro-
curement r!'iUlat1ons which re11ect ap-
pllcaele State aDd local law. rules and
reru}aUons provtded that' procurements
made with Feee."'2J &rant funds adhere
to the standards set torth as follows:
(a) The ~ tee shall ma.1nta.1n a. code
or at.a.ndards of conduct which shall
covern the performance of ita oOcers,
employees. or &geI1t8 m contracting with
and expendlni Federal crant funds.
dn.n:ee's o~cers. employees. or &lents,
sh&ll ne1ther s.o11clt nor accept gratui-
ties. favors. or a.nyt.hing of monetary
value !rom eontractors or potent1BJ. con-
tractors. To the utent permissible by
State or local law, nlle.s or reaulat1ons.
such standa,rd., sha.1l provide for penal-
ties. sanctions, or other d1sclpUnan' ac-
tions to be.applled tor violations of sUch
st.a.:l~rds by elt.."ler the i1"antee omeen,
employees. or agents, or by contractors
0: t.he.1r aeenta. .
(b) All procurement tra.nsact1ona re-
\,( '.- rardless of whether neiotiated or adver-
\... t1sed a.nd w1thout reprd to. dollar value
al\a.ll be conducted in a manner 10 as to
provU!e ma.x1mum open and free compe-
tit1on. The r:-a.ntee should be alert to or-
p.n.1zat1onaJ co!11!1cts ot mterest or non-
compet1t1ve practices amo~ contractors
which may restrict or ellm1nate compe-
tition or otherwise restr&1n trade.
(e) The' rrantee &hall estab11sh pro-
eureceI1t procedures which provide for,
as a. mmtmum. the follow1Dl procedural
reQu.tremen t.s:
(1) Proposed procurement &CtlOIl$
shall be reviewed by crantee otac1a1s to
avoId pW',..hlLci'Mi unnecessary or dupli-
cative items. Where appropriate,. an
a.nalys1s shall be madt of lease and pur-
chase altem.at1ves to determine which
would be Uil most economical, practical
procurement.
(2) Invita.t1on.& for bids or requests for
proposals &hall be 'based upon a clear
and accurate desc~pt1on of the techn!-
eal requ1.-ements for the mater1a.l. prod-
uct. at service to be procured~ Such de-
scnpdoD shs.ll not. in compet:1t:1ve pro-
curements. cont:Un features which un-
duly restrict competition. "'Brand name
or equaJ" description may be used as a
means to de15.:ae the performance or other
saUent requJ:eme:ots of .a procurement,
and wben so used the speciftc features of
the named brand which must be met by
o1!erors should be elearly spec~ed.
. ( (3) Positive e1forts shfJ1 be made by
, :'::. . the uan~ to ut1l1u small bu.smess and
," .:::: mJnorlty-owned business sources of sup-
....... .... pl1es and sen1ces. Such efforts should aJ-
low these sources the m.ax1m um feasible
opport.un1n' to compet.e tor contracts to
be performed ut1l1z1Il& F'ederal cn.nt
funds.
(,) The type o~ Procurtni instruments
use<: <i.e.. 11xed price contracts. cost re-
imburaable cont.ra.cts. pw-chase orden,
incenUve cont..-,.cts. etc.). shall be ap-
propr1ate tor the pa.rtIcular procurement
and. for promot1ni the.'best interest of
the rra,nt p~ involved. The "cost-
pllJ.!-a-percenta.ie-ot-cost" methoc1 of
contra.ct1ng sh&ll not be used.
(5) Porma.l advert1.s1ni'. wIth adeQua.te
pw-chase descr1ption. sealed bids. and
publlc O~iT\i'= shall. be the requ1red
method. of procurement unless n.egot1A-
tIon pursuant to paragraph (6) below is
neces.sa.ry to accomplish sound procure-
ment. However, procurements of $10.000
or less need not be so a.ch'er..Jsed unless
oUlerw1se nJqu1red by State or loca.llaw
or recuJ,a.t1ons. Where such advertised
bids are obtained the awarC.s sl1a.U be
made to the responsible bidder whose bid
15 responsive to the Ulvit.&t1on and is most
adva.n~eous to the iMUltee. pr1ce and
other factors considered. (Factors sucb
~ d15counts, transportation costs. taxes
may be considered in determ~ the
lowest bid.) Invitations for btds shaJI
clearly set forth all reQuiremeIl ts which
the bidder must fulfill m. order for h1s
bid to te evaluated by the ~ntee. AnY
or all bids may be rejected when it is in
the STantee's 1literest to do 90. and sucb
reject10ns are in a.ocorda.nce with appli-
cable StAte and local ~w. rules. and
re,ulations.
(8) Procurements may be negotiated
if It is lmpra.ct1ca.ble and unfeasIble to
use formal adv~. Gen.erally. pro.:
eurementa may be negot1&ted by the
era,ntee J!: .
Ca) The pub11c ex~ency w1lI not per-
mit tne delay incident to adv~r
Cb) 'Ibe mater1&1 or semce to be pro-
cured 1s aV&1lable from only one person
or 11rm: CAD cont.emp1a.ted sole source
procurements where the a.g~te u-
pendtture 15 expected to exceed $S.OOO
shall be .referred to the If&%ltor a.een.cY
for prior approval.)
ec) The a.ggrep.te amount involved
does bot exceed $10.000;' .
Cd) The contract is for personal or
professIonal services: or for. a..J:U' service
to be rendered by a un1versity, collece, or
other eduea.t1onal1nst1tut1ons:
(e) The'mater1&J ot services are to be
procured and used outside the llm1ts of
the Un1ted States and its pos.sesslon.s;
(f) No acceptable bids have been re-
ceived. after formal advert1.sinl:
(g) The purchases are for h1gbly per-
ishable materials or medical suppUes. tor
materia.j or serv1ces where the prices are
established by 1a.w, for techn1cal items
or eqwpment reqwnng standardization
and interchangeability of parts w1th ex-
1st~, tor exper1ment&l, developmentaJ
or rese&rch work. for supplies purchased
for authorized resale, and tor tec.hn1eal
or specia.l1zed supplies reqwri:lg substan-
tial 1n1t1JiJ investment 10; manu!a.eture:.
(n) Otherw1&e authorized by 1a.w. rules,
or .~t1ona.
_~ I'__~L.__I ,..__..__~__ 411"'\~n
.Zilt.
A-102:63
Notwtt.hstand1.rii the existence of c1:cum-
1ta.nceS Justi!ying neiotia.t1on. competl-
t10n shall be obt&1ned to the maximum
extent practU:able.
(7) Contracts shall be made only wtth
responsible contractors who POsse:s.s the
potent11J ablllty to perform success!ully
W?-der the te:'m.S aDd conditions of a pro-
posed procurement. Consldera t10n shall
be g1ven to such matters as contTactor
mteiI'ity. record of pa.st perfor:nan.ce.
tma.n&l and techn1cal resources, or ac-
cessIbility to other necessary resoW'eeI.,
(8) Procurement records or rues tor
purcha.ses in amounts in excess ot S10,-
000 shall provide a.t least the falloW1ng
J)ert1nent 1n!ormation: justL"'ica.t.1on for
the use of negot1&tion m lleu ot a.dvertia-
1ni. contractor selection, and the ba.s1s
10r the cost or price negot1&teC..
(9) A system for contract Arlm1....ictn_
t1on. shall be mainta.1Iled to assure con-
tractor conformaDce with ten:c.s. condi-
tions. &Dd s~cat1ons of the contract
or order. and to sssure adequate and
timely toll~ of all purchases.
4. The grantee shall include,'in a.dci1-
t10n to proruIons to define a so\md and
complete a.greement. the t~loWing pro-
v1s1ons in all contra.cts and subgl'a.nts:
(a) Contracts &hall cont.a.1n such con-
tractual provisions or conditions which
will allow for AJim1T\ictrat1ve. contr&ctua.l.
or legal resneQies 1D msta.Ilces where CO:l-
tractors Violate or brescl1 contract tenns.
and provide for such sanctions and
penalties &oS may be appropr1a.te.
(b) All contracts. amDWlts for wh1ch
are m excess of $10.000. sh&ll conta.lll
suJtable prov1s1oDs for ter:ninat1on by
the rraIltee mclud1ng the manner by
wlllch it wUl be e!!ected aIld the bLSis
tor settlement. In a.dc1Jt1on. such con-
tracQ-> sha.ll describe conctitions under
which the contract'may be terminated
tor de!a.nlt as well B.6 eoncUtions whe:r'e
the contract may te term1.Ilated. because
ot e1rcumsta.nces beyond the control ot
the contractor.
(C) All contracts awarded by il'BJlt.ees _
and their contractors or subgrantees hav-
Ing a value of more than $10.000 shall
cont&1n a prov1.s1on requir1ng compllance
with Execu.tive Order 11246. ent1tled.
"'Equal Employment Opportu:J.1ty,'. as
amended by Executive Order 11375, and
as supplemented in Depa.rt.z:nent ot Labor
regulat10cs (.u CFR Part 60).
(d) All contracts aDd subgrants for
construction or repair shall mclude &
provision tor compliAnce With the Cope-
land uAI1t1-Klck Back" Act <18 U.5.C.
87.) as supplementec11D Depa..rt.ment ot
Labor regulations (29 CPR, Part 3). This
Act provides that ea.cl:l contr~:or or
subgran~ shall be prohjbl~ from in-
ducmg, by any means. any person em-
ployed in the construction. completion.
or repair of pUblic work. to iive up any
pa.rt of the compensation to which he
Js othe!"W1se eDt1tl~. The grantee shall
J'ep\>rt all suspected or reported viola.-
tions to tbe i1"&ntor ager.cy.
(e) When required by the Federal
s:ra.nt. PTOiTa.O legislation. all ccmstruc-
t10n contra.c.t.s awarded b~' grantees and
subi1"antees in excess of $2.000 sha.ll 1:1-
elude ,a proVision for compl1&nce ~tb
~ nn~nriiy
Office of r~anagement and Budget Circular A-102 (9/12/77)
the :):1v1S-ca.con Act <40 o.s.c. 278a to
&-':') ~c1 a.s su;:ple:nent.ed by Depart-
men:. ot La..Oo: re~tions (29 <=FR, Pa.rt
". Uncer Cl1s Act contractors shall be
.uir~ t.O par waaes to la.boren ~t1
. .~W~ a.t a rate not less than the
mi:li::'-= W3,&es specUied in a w&le de-
t,e:"::l;.:a :olo: made b!' the Secreta.r:r of
Labor. Ir. "adci!t1on, cont.-"ctors shAll be
re<;ui:'ee t.o pl.!, wages not lesS otteI1
thlUl o:.ee &. week. The ~tee \ball
pla.ce a CO;:j of tOe current Preva.W:li
wage cet.e:::::llIlat1on issued by the De-
~e:lt o! Labor 1n each solicitation
and the award. of a contraCt sh&1l be
condi":.loned upon the acceptanCe of the
W'al'e c:iete::ni.na.t1on. The iT3Jltee sha.U
report a.U suspected or reported Viola-
Uons to tbe irantor &i'ency.
(!) Wbe:e applicable, all contrac~
awarded by ~tees e.nd subi%'&I1tees 111
acess of $2.000 for construction con-
tracts Ulei 1: acess of $2.500 for other
contracts which involve the employ-
ment of mecha.n1cs or laborers shallm-
elude a ;:rov1.sion for compli.a.nce with
sect10ns 103 and 101 of the Contract
Work Hou.-s and Safety Standa.rds Act
(40 O.s.C. 327-330) u supplemented by
De~rtceDt of Labor reglila.tions (29
CFR. Part 5). 'Onder secUon 103 o! the
Acl each contra.ctor sh&U be requ1red
,
to compute the wages of e\'erj mechanic
and laborer on the basis of & sta.Oc1&rC
work d.a.y of 8 hours aIlC a sta..nd.ard work
~eelt of 40 houn. Work in excess of the
staJ:1da.n:1 workday or worlt..""\t'eek 15 per-
missible proVided that the worker 15
compensated at &. rate of not less t.hu1
1 ~'i times theba.sic rate of pay tor all
hours worked in excess of 8 hours in a.::s
ca.1en.d.ar day or 40 hours 1n- the work
week. Section 107 of the Act is applica-
ble to construct1on ~'ork and proVides
th3.t no laborer or mechanic sha.ll be
required to work in sWTOUDd.1ngs or un-
der workini CODcUt10ns wh1ch are un-
sanitary, ha.za.rdous. or dangerous to his
health and sa!ety as detenn.ined under
constrUCt1on. safet1o', and health sta.D.c1-
ards promulga.te:1 by the Secreta.1j of
Labor. These requ1remen~ do not apply
to the purchases of su~pl1es or materials
or art1c1es ord.1nar1l1' &\'1L1lable on the
open market, or contracts for tra.nspor-
tat1onor tJ'tl.nc1Tli~~don of 1nteIl~ence.
(I) Contracts or &I'1'eement.s, the
pr..nc1l>aI purpose of wh1cb 15 to create,
develop, or improve products, processes
or methods: or for expl"ra'Con 1nto ~elCs
wh1ch d.1rect.ly concern public health,
sa.f~, or wel!&re; or eont:"acts tn the
:aelc1 of ac1e:nce or technolOi'Y in which
there has been llttle s~cant exper1-
......
A-102:54
enee outs1c1e of work tunded by Federal
assir ..3nee. shall ccnta.1n & notice 'to tbe
e~ect that matters regar-'~ rig.e.ts to
1nve~t1ons. and mat.eI"i:3.1s ger..e:oated
umier the cont.""aCt or agreement are sub-
ject t4 the regulations issued by the Fed-
eral J1'3,ntor a.gency and the grantee.
The CQnt:'1Lctor shall be adVised as to
the source of &dd.it10D.&l1ntcr:na.t1o~ re-
larding t.:ese ma~..ers.
(h> All negotia.ted cont..-xts <exce';)t
t.."lose at $10.000 or less) awarded by
e~ect t.!:1at the gI'aDtee, the FedenJ
~tees shall .include a provislOI1 to tOe
gn.ntor a.gency, the Comp~-oller Gener1l
of the United St&~. or any of their duly
autho~.zed representa.t1ves. mtJl ha.ve
a.cces3 t4 any boob, docume::1~. p&.;)e:"S,
~d recon1s of the con't:::"a.c-..or wb.1cil are
~y pertinent to & spec~c rra.:n
progr:un for the put1)ose of ma.k.ing
a.ucUt. ~YSll1Tl;'na.t1on. -excerpts. and t...-a.n-
scr1ptlons.
(1) Contracts and subgra,nts of
amounts in excess of S100,000 shall con-
ta.1n a provisiOD which requires the re-
cip1entto a.gree to comply ~ th a.ll ap-
pl1C:J.ble sta~darc.s, orders, 0:' regulations
issued pursua.n t to the Clean Ai: Act
of 1970. V101at1ons shall be report.ed to
the iT;LI1tor a;ency and the ~onal
Omce of the Environmental. Protect1on
Agency .
(PR Doc.'7"7-2S9+l PUec1 ~77;8:46 am 1
t:-"~.:::::'..
t::=:.:.=
l
. Office of Management and Budget Circular A-110 (7/30/76)
OFFICE OF MANAGEMENT AND
BUDGET
IClreUlar No. A-110)
GRANTS AND AGREEMENTS WITH INSTI.
TUTIONS OF HIGHER EDUCATION,
HOSPITALS. AND OTHER NONPRORT
ORGANIZATIONS
Uniform Administrative Requirements
JVLY 1, 1876.
To the beads of executive departments
~:! establishments.
Subject: Uniform &dm1n1strative re-
qc-ements for crants and other 1LIT!e-
m~ts with institutions of h1~her edu-
ca.:.10n. hospitals. and other nonpro1it
oryaniz&tions
1. Purpose.-Th1s Clrcular promul-
ptes standards for obta.1n1n~ consisten-
cy and un1!onnity amone Federal alen-
cies tn the administration of &rants to.
an d other agreements with. pUblic and
ptivate lnstttutlons ot hj~her education,
publ1c and private hospitals. and other
quui-public and private nonproftt or-
p.niza.t1ons. This Circular does not appl}.
to rn.nts, contracts, or other aueement.s
be~ween the Federa.l Government and
~ts of State or local ~overnments
covered by Pedera.l Ma.na&ement Cir-
eular 74-7.
2. EtJective cI4U.-The standards In
~e attachments to this Circular 'Will be
ap~lJed. as soon u practicable but not
lat.er than JanU&r1 1, 1977.
3. Supe-rse.uion.-Tbis Circular res-
c~c1s and repla.ces parts m and rv of
the Appendix to Federal Management
C1rcular 73-7, Adm.1n1stration of COllege
and univers1ty research rra,nts.
4. Polic'V intmt.-The uniform stand-
ards and requirements included in the
atachments to t.h1s Circular replace the
va.. -y~ and often con11ict1n~ require-
ments t.ha.t have been imposed by Fed-
eral &l'encies as concUtions olarants and
o~er ~eements with recipients.
5. ApplicabiZi4t and 'COJ)e.-Except as
provided below, the standards promul-
p:.ed by this Circular are applicable to
all FederaJ agencles. If any statue ex-
pressly prescribes pol1cies or speci1ic re-
q\:irements tha.t cWfer from the stand-
ard.s provided herein. the prov1sions of
the Ita tu te .shall eOVVD.
The provisiOns ot the attachments of
this C1reular shaD be appl1ed to subre-
cipients performin8' wbstantive work
~::!er J:"a.nts th.&t a.re passed throu&h or
a warded by the pnma.ry recipient tl such
~rec1plent.s are orp.n1z&tions de-
sc..-ibed 1n pa~ph 1.
&. Dellnitions.
.. The term "crant" means money or
property provided in Ueu of money paid
or furnished by the FederaJ Government
to recipients under programs that pro-
vide financial assistance or that provide
~?port. or stimulation to accomplish a
public pUl'p05e. The te':"m "other &&Tee-
ments.' does not Include contracts which
are required to be entered into and ad-
D:.inister~ under procurement laws and
r~a.tions. Grants and other a~ree-
ments exclude <a) technical assistance
p~ms. which prOVide services instead
0: money, (b> assistance in the fonn of
reneral revenue sh&rtnc. lo:u1S, loe.n
ruarantees, or insurance., and (C) direct
payments of any kind to individuals.
b. The term "recipient.' tncludes the
followtnl types of nonproftt ollfantza-
Uons that are receiv1ni Federal funds
from a Federal agency or thro~h a
State or local ~overn.ment:
Public and private institutions of hlah-
er education; publlc and private hos-
pltals; and other quui-public and pri-
vate nonpront organizations such as (but
not limited to) community action a~en-
cles. research institutes, educational as-
socations, and health centers.
The term does not tnclude foreien or
international or~aniza,t1ons (such as
a~encies of the United Nations) and
Government-owned contractor operated
facilities or research centers provid1n1
continued support for m1ssion-oriented,
la~e scale prog1"8.UlS t.hat are Govern-
ment-owned or controlled, or are de-
sl~ed as federally-funded. research and
development centers.
7. Re~su fOT uceptio1u.-TheOmce
of Management and Budget may grant
exceptions from the requirements of this
Circular when exceptions are not pro-
hibited under existing laws.
However, in the interest of maximum
un1form1ty, exceptions from the re-
quirements of the Circular 1!'1ll be per-
mitted only 1n unusual cases. A,eencies
may apply more restrictive requirements CASH DEPOS%TOaD:S
to a class of recipients when approved by 1. ~15 attachment sets forth atan:1ard.s
the Otftce of Management and Budget. IOvemlng tbe use of banks and other Ln-
8. Attachmenu.-The standards pro- .tltutlons a.s depositories of func1s advanced
mul~ated by this Circular are set forth UDder grants &nd other acreemen1.5
in the Att.aclunents. which are: 2. Except tor sltuatlons descr1be<1 In para-
crapba 3, 4. and. 5, no Pedera1 aponaor1J:li
Attachment A Cash deposttones. &lency shall:
Attachment B BonCUng and m.urance. a. ReqU1re phY'I~ M(fe,aUon or cuh de-
Attachment C Retention and cunocual re- posltorle.s'ror fund.i wbJch tore proV1d.ed to a
qutremenU for recorda. reclplen.t.
Att&.Chmen.t D Program lDcome. b. Eatabllah any el1glb1l1ty requlUmenta
Att&.chment J: Coat ah&rtng and matching. for ~h d.eposltor1es for func1s which are pro-
Att.a(:hment F Standard.i for financial man- vlded to a recipient.
arement .,.teIDS. 3. A sep&l'&te bank account shall be requite
Att.a(:hment G JI'1na.ncla1 repoTt1ng requlre- when appllc.able letter-of-cre<11t &gT'Hmenta
ments. provide that drawdowD.S will be made when
Attachment H Monlt.ol'lnl and. report1ng the recipient'. checks are prrsente<1 to the
program performance. bank for payment.
Attachment I Payment requirements. i. Any moneys adnneed. to a 1'eClplent
Attachment J R.evls1on of financial pllJJS. which are IUbJect to the control or "@'Uta-
A~ta.chmen.t K Closeout procedures. tton of the United States or any of Ita omcen.
Attachment L Suspension and term1natton Igentl or employees' (publlc money. u de-
proced.urea. ' bed lD Treasury Circular No. 1'76, as
At.tachment M 8t&ndan1 form for applylnl amendetS) must be deposited 1n . bank Ylth
for federal ....l.~nce. .Peden.l DepOSit IZlIurance Corporation
Attachment N Property mAnapment nand- (FDIC) Insurance coverage and the balanee
anSs. Uceec11nc the FDIC coYerale mU5t be col-
Attachment 0 Procurement standards. laterally..cured.'
9 E tio f ---~ . .-+. 5. 'Ccnat.tent With the national goal of
. . %C", 7U or c~r "'"!l reCSplc;r_.- expanding the opportunities for mlnor1ty
NotW1thstandin~ the prOVlSi?D:S of para- buslneas enterpr1Ms. reClplentl and .ub-
rraph 7 tl an applicant/recIpIent has a rec~plents shall be eneou~ed -to use mlnor-
history of poor performance. 15 not ~- , tty banks (a bank which 15 owned at leut 50
nancially stable. or its man&gement sya- percent by mlnorlty croup memben).
tem does not meet the sta.ndards pre- ATfACKMnrT B.--cmCll'LAa No. A-no
scribed in the Circular. Federal agencies
may impose additional requirements as
n~ed provided that such applicant/
recipient 15 not11ied in writing as to:
L Why the adclitional standards are
beina lmposed;
b. what corrective action 1s needed.
Copies of such notL~cat1ons shall be
sent to the Omce of Management and
Bud~et and other a~enc1es funding that
recipient at the same time the recipient
15 not1fted.
;:~de(al Grants Motlagemsnt Handbook Se~tembe:- 1978
A-110:1
10. Rerpcm.dbilitter.-A~encies respon-
lible for ac1ministerin~ pro&ra~ that in-
volve l1'ant& and other al1'eements "ith
recipient& &hall Issue the appropriate
reiUlations necessary to implement the
provisions of this Circular. All portions
of such regulations that involve record-
teepi11l u.nd/or reportin~ requirements
subject to the prOVisions of the Federal
Reports Act and OMB Circular A-40
must be submit:ed to OMB for clearance
be!Qre l>ein~ Introduced into use. Upon
request all regulations and Instructions
1mplement1n~ this Circular shall be
furn1shed to tl1e Ornce of Management
and Bud~et. A~encies shall also desig-
nate an omcial to serve as the alency
representative on matters re1atin~ to the
Implementation of this Circular. The
name and title of such representative
shall be furnished to the Otrlce of Man-
~ement and Bud~et not later than Au-
S'USt 30, 1976.
11. lnquiries.-Further information
concerning this Circular may be obtained
by contractin~ the F1na.nciAJ Manag~
ment Branch. Budget Review Division.
Omce of Management and BUdget.
Washinlton, D.C. 20503, telephone 395-
3993.
JAKES T. LYNN.
Director.
ATfACKMDfT A.--cmCll1..U No. A-IIO
.ONDING AND DrS't7LUfCE
:. 'Ibis attachment seta forth bond!::g and
Insurance requirements for (T&nta and otber
arreementa Ylth recipientl. No other bond.
tng and insun.nce requtremen't6 .hall be lm-
po&e<1 other than those normally required by
the recipient.
2. Except a.s othenrlse required by la.. a
grant or other arreement that "quires the
contracting (or subcontracting) for con-
.tTUC'tlon or facUlty lmproTemenU shall pro-
Ylde for the recipient to folJow Ita own re-
Appendix I
T
Office of Management and Budget Circular A-110 (7/30/76)
~IA ~ t.a bid ~~. per-
f~ bollda. ~ paf'IMll& baDdI \ml.-
UM CIOZlIaU'UCUOIl COIlcnd << .UbcOIlUK' ea-
.... 1100.000. Pol' u:ac.e ~ or Nb-
ODI)U'KIA uCM<Uq '100.000. !be PMaral
&pACT ma1 aacept &be boIld..I.D.C POI.1c7 aAd
Nq~g of uae I"A~ pro.~ ~
Pec1enJ ",1lC1 hu mad.. a det.enDJ.DaUOD
~~!be Oonrnmallt'. m~t 1a a4equa~,.
prot.ee'teCl. If auch a det.e!"lnlAaUOD .... 1aO\
beell ZDA4e. tbe m.I.ILUDWIl req\Ul'aDUlca ~
be . toUo..:
L ~ ~ ,..,.cus.e. frO"IA MM ~ ~
al..: &0 1>M pcromt 0' UW * ~.-
'nM '"bid ~.. aIsa11 ClClDIIoWt of a AIm
Cll:lmIZUtmellt nsdl u a b14 boD4. ~eel
CecL ar otAer llq'Ot1&!)le matrw=allt a,c..
oomp&Zl1\Dl a bid u a.uura.DCe ~\ ee bid-
der Y1ll. Upoll ~t&DCe of !ail bid. aecuce
auc.h CIOzuractua.1 dOc:UmeIlg u mar be N-
ClUD'M wlt.IUA tbe ume epec1Aed.
b. ~ ,.,~ kon.d Otl UL.c JMf'f of UY
ClOtl~or lor 100 IN'''CC'''f ot ULc COft",aer
pr'1eC.-.\ ""perfo~ l>cmd" 1a ODe eucut.-d
lJa ODAAectlOIl W'ttb a ODIl~ 10 MCUl'e tW-
~~ of aU &be OOIlInCtm". obUptlODa
WUSer .uc!l 00Il~
Co ..t pcpwmt )on4 011 tM '*"' of tM COlI-
~ tor 100 ~ of eM ClCft"'~
JIIf"IcC.-A -paymct bond" 1a OAe u.eu~ III
~lon Ylth a OOIl~ to ..un par-
~ u :o.qu1ftod b1law of all pe.ncma .up-
plJ1nll&l>or And matartal Ul the aeeuUOn of
~e won pro'r1d.ct for m ~. oontract.
S. WbeN the hdenl ao.arnmell~ cuaran-
.... or m.w. the npaymeDt of IDOIWl'
bon"o-.d b1 U:l. NC1plC~ ~ Jllldft'&l
apllC1. at Ita cl1.ac:9t.1on. may NqUiZ'I ade-
qu.~ baIlC11l::l.I a.Dd ~ U U:l.e bcmdlDC
a.Ild 1:.aun.nce requ1nmellta of tb. redplel
an DOt deemed adequate to pI'O~ ~ m-
__t f)f the Pedua1 ~~
'- "nl. ~ .~ ac-1lC'f =-r ,...
ClUU'e a4equate edeUt1 boIld ~ where
tbe r-=1pleDt hM no OO?en.ce &Ild the bond 1a
Deeded co protect uae OoftrllZDm'" 1Ilta"Mt..
I. WhC"e bo~ are ~ LD Ce aWA-
ucma deecnDed aboft. the boDcSI ~ be ob-
~Id from oom ~s. hol41nC cer1:l:1catea at
au~ u accqtable wnu. (31 en
=S).
~a._~ C.~ Jlo. ~110
....- ~...ri ~ ~ "'VJIIS~ rea
ucc:.M
1. ~ attachment..~ fort.ll NCOI"d NceD-
Ucm nquaemel)g tor IJ"Dta aDd oCer acr--
1DaIl'- w1~ nc1piaA~. hc!eral ~
~ ah&U DO\ 1mpoM &D11'eC01"d receD-
UOIl req\lV'emeA"ta apeD nclplaAta ot,ber ~
UaQM d-=ttHld below.
2. Ez.c:eu1 tor pan.croapb 1. UUI a~t
alae appU_ to aubr-=J)lc~ u nfernd to
SA p&:'aCn;lh I ot tbe bute dreu1&r.
J. PIAazles&l NCOrda. npport1DC cSoc:uzD.mlA.
8&ac.cca.l reoorc1a. ~ &11 other recorda peru-
Dan so aD ~eIlt &baI1 be ~ tor a
pw100d of tZU'ee fean. trlUl t.I:le fOUowmc
~a~:
L U~,. lltlpUoA. c:1a1ID or au41t II .~
~ON ~e e%plratSon of Ule 3-~ pet1CCl. ~e
~ ab&ll be retUn.cS unW &l1 UUpUOZaa.
clau=&. or ~dJt bd1np 1IlYOl't'Ull tbel"lCOl'da
bay. bMn :.olTIId.
b. &ec:on1a tor Donupenda.ble property ac-
quSrelS W1t.1l "-Sera1 tunda 1ba.U be re&&1D.ct
for S ,.....,.. att.et' Ita ba.l ds.spo.ttloll.
Co Wben ncon:1a &1'. t:r'&Zl.I!en"ed \0 or mam-
ta.UleCl br ~.l'edenJ ~ aeenCT.~.
,-,.., rete.:ltlon nqU1remall\ 1a Dot applJca-
ble \0 uae rec:tplUl~.
4. '%be "'~DtSoD per10d ..,. from tbe
d&&.e of tile 'ubmJ.uIoD ot Ule bal GpeIl4J-
tw. repon or. tor I"oZlta loAd otbv .".....
I:DCIa that an I"eD.wecl &Zl.:uaUY. from tile
Catoe of ~ wbmlMlOIl Of ~e umual
~d&181&~ ~
SA-k1Ild contnbuUou made ~ reapLulca or ~ (
aubnc:tplellca (u retenwd to Ul pa.t-.paph I
Of UU bulc dr'CuJ,g). or tb.II'd ~ 1Il....- "_ ..
latJ1Al oaft I.b&r1q ud 1D&&.cJUAc ntqusn- .;~;:;... .
IDeDtI of ~ 'POrl.lOr1lll ~_. nuol
at~t ~ e&t&b1J&b_ c:r1cena for 'U:le
rralu.a\iall Of 1Il-~ OOAtrtbuUOQa 1DA4. b1
Ul.Ud pat'UM. &Dd eupplemaDca tile ~
eet forUl SA hde:a1 ~emeDt C1rcu1&t
'n-3 ~ IWpeet t.a cc.& &artDc OIl feeler-
aU1-.pGn.aorec1 ~
2. ne toUo1t'1D.C cleAAiuan. apply for U:le
PW"POM of UUa at~nt:
L 1To1ect COIU.-ProJect ClOetl an &l1 &I-
Jowabl. =-t.I (.. eet t.ort.h SA UU app11cabl.
Pec1araJ cc:.t prtDc:1pl") lIlI:u:nd b,. a rec1pl-
ftlt loAd tbe Y&lue of U:l. 1Il-k1Ild COIltrlbu-
tlOD.I ma4e br tIl. NC1plUlt or UUnl parua
Ul accompl1.ahUlc tile "jec:Una at UM poust
or ottl.,. ~t dur1DC ~ project or pro-
IftoID pciod.
b. Co.t 11&4f1-. aU ta&tch.w, .-IA 1U*"a1.
~ ~ &DeS ma1Ch1D1 ftp~t ~t
poruou ot proJ~ or pt'ClC'nLm ooeta IlOt ban:ae
b1 ~e hde:a1 Oonmmellt.
Co CIUh. COftD'tbv.tiou.--caab CQIlt:1))uUDaa
repr-.nt t.be rec1plcra ~ OUU&1. SAchus-
me the ou~y of money- colltr1.buced \0 tile
nclpl.D\ by DOIl-hcSval \ZW"d paru...
d. l~-kCft4 COf\tnbutioft.l.-lA-kU:wS CODCl'l-
bu~na I'epnMllt ttle "t'alue at IlOz:a.c:a.ab 0QIl_
t.J1))Utlollol pro11decl ~ tile nctp1ct AIld
1lOIl-hc1en.1 thJn1 p&n1-. 01111 ~ au-
1bor1md by ~ leglalatloll. ID&Y PI"OJ)eIftY
pW"ChaMd trltb ~ tunes. be co~
.. tile nclplc~" lZl-k1Ild OOCU"1buUoAl. ID-
kind oonC'1buuollol mar be 1D \be farm Of
~ tor r.I property aDd 1lOZl-G'p&Dd-
a!>>l. pet'IlOD&1 pl'OpenJ, aDd ~ "&lue of
Ioods az:\d Ia"'nCe:a ~ bell~t1nC aDd
apec14ca111 kWlt1Aab1e to 'U:le project ar
prosram.
3. Gelleral JWdeu.r:a. for oompuc=c oo.t (='~-::::.~"
ab.aI1.nc or ma~ an u foUowa: ,
L ec.t &b.u1.Ilc ar IDA~ IDAY ClOZWIt "_
of:
(1) ~ 1Ac:u:rred bT U:le NCt;>>Senl U
pro,ec:c ~. (!lot all ~ 1"eqUU'e CIUIl
out.1an b1 the ftC1ple= dunnc 1IIbe pn>Ject
pc1od: eu.mp* an cSepNdaUOD aDd 11M
c.h&I'c- fot" t)WJdJnp aDd eqWplDeQt..)
(~) ProJ~ ca.t.a ~ 'W1t2i cua 00Il-
tr'1buWd. or c10D.&C.ecS to \be NdpSeD~ b1 otll..
DOIl-r.deraJ pubUc aceDdeI aDd IARUutioQa.
aDd pr1ftt.e OI'pAlzaUaDa &IlcS lA4l11d\aa.11.
aDd
(3) Pft)Jec't ec.ta ~Ilted b1 Ml'Ylcea
&Ild r.J aDd penoca1 property. or UM Ua.,..
of. dc~t.ecl by ot.ber DOIl-Pedera1 pubUc
lCeAd_ aDd lAIUtv~~na. &oDd prt....ce orp-
JL1ZatSOIlol aDd lDd1?\dua1&.
b. All OOl1trlbutSolla, botll aaU aDd iD-
kiDd. mall be -.ccep\ed u pen ot tile redpl-
elle', cc:.\ ab.a.rSIlc a.Dd mat.ch1DC nlll .ucaa
OODU1but1ozaa IDM\ all ot Ut. 10U0w1.1lc
cns.na :
(1) Aft ~Ie !I'aal tM ftdp1eD".
noordr.
(2) An DOt mcluded U ocmtnbuaona for
AllY Ottlar tedera111~ ~
(3) Are ~ &Ild r--o""ble for prop_
er a.Dd dc:lellt acaompl1ab.maDt of proJee't
ObJectt...;
(4) An ~ of c:ha.ri'n that would be &1-
10wable 1mder tbe appl1ca.b1. OOIIt pl'mdplea;
(I) Are 1lO\ paJd br U:l. Peden! 00"1rIl-
meDt under a.DOtb.,. ..~ ICf"Mment
(UAJ.. tbe acr-mct 1a aU"Ulor1&ed b1 ~_
era1 law to be uae4 tor ~ a!l.&I1nc or ma&ch-
me):
(el An pf'O'f'ld.cS tor Ul tbe appro?ed bu4C-
" "bell J'equlnd b,. the hdera1 .....1lCT: &Ad
('7) CoZI.torm to OUler prcma1ollol of U&.1a
attachmallt..
1. n.a '7'=:: :: =:::........ i;~al?=I~::::':::::;iiG.;:'
proc.duna for Ce allO"'bW~ at CUb aAd e.t&b11ab.11l.1 UU ',ah. ot m-k1I:J,d oolltz1bu-
.. JLedpieDI OI'I"'...t_.t~, aboukS be au-
~ ~ Ut. Peder&l apollolOnDC 8CtIlCT.
It Ua-r eo CI-ue. t.a nt.Utuce m.Lc:roGlm
001'''' Ul un of 0iI1CIA&l reccmSa.
t. "nM ~ IpOD8OlUl.I "I'CC1 a.baU .....
qu.& traIlafer of cen&UI. ncordI ~ Ita cu.-
t.ocS,. bolD ree1plmt orca...,....P1On. "he it
de&.ermm_ tba& tbe recorda ~ kmI-
~ ~tloll ftlue. Howeyer. SA emsv \0
a.064 4upl1cal.e l'WCOr1I-keepUlC. a ~a'&l
apoDllCll"U1C ~C'J mar mou. ~ta
W'ttll nceipWU orp.nlaClOllI to retaUl All"
reoont.a Ulat a,. COIlUlluoualy Ileed.ed tor
JoiM UM.
,. na head Of \he hdenr.1 apoll.lOl"1AC teeD-
~ ~ uw CoI:a;ttroller OeDenJ of \he OIUt.ed
~ or aD1 at tIleu duly auUlonzed fel)....
MDt.aafta, &h&U ha.. ace-. 10 a.D1 pertUlet
boo"" doc:wD.mta., papen. aDd recons.a of tIl.
nctpuallt ClIJT'".....UoD azul tb'lr tUb....
aplellta to ma.lte wd1ta. aa.mlIlauom. a-
CC"pU azul tn.Dac:r1p~.
.. UA1eM oU)..,.,.. :o.qWnd by la.... IaO
~era.l Ipollaorllll acenc1 ab.&l1 place N-
.~ OIl rec1pl.D\ orp.lUZ&UoIl.l ~ W111
Umlt PWlUC acceu to the recor'd.I of rect;>>&ellt
Of'p"t_~ Cat are ~m~ to a If'Ult
or ~\ a~ whm ~. accc:y can
Clemo~ce ~ eueb recorda muat be kep~
co~ct1&l &Ild would ban beau aceptec1
tJ'om ~ pW'aUAD' to \h. ~om of
~orm&dOQ ~ (I O.8.C. 662) It U:le recorda
had be10llpCS 110 tIl. Pederal ~1lIOI'U11
ICCCf.
A~ D.~ Ko. A-ll0
ftOGLUI DICOla
1. hdenl ~ ....1lCt_ &b&11 t.;)ply
tal. ~ Nt fOr\h 111 ~II ~t Ul
reqw.rmc ncSplC\ orp.z:u.zaUOn. 10 a.ccount
tor pI'OCr&ID LDcome related to pro'ecta
ADazlced LD wbol. or 1Zl pan wt~ hc!eral
twlda. ~ 1Ilcome I'WpreMllta J'7'C* Ul-
oeme acned br tile reeiptct from tIl. fed-
vally .\ll)por1.ed act1yltS_. SUeb -.nIJDp a-
aWS. 1Acer.~ -.mad 011 llCI?&Dc. az:\d mar
1Il.c1ud'. bu.t WW 1lO\ be Umtted 10. Ulcoma
from Mn1ce re., 1&1. of oommod.1t1ea. UMle
or rental f_. a.D4 J'01a.1U_ OIl pateAta &.DeS
oopr1p1L
2. IJl~ WoI'Iled Oil a4?&D~ of PIden.l
twlda ab&l1 be J"nDStced to the PtdenJ a,pnC7
ucept tor m~ Mol'IleCl OIl ad~ to
8tAt.M<< ~D:aJ.1tl_ at a StAce u pro-
'f'Id.s by ~e Izn_'IO.,.rum.ctal Coope:r ..-
Act of IH1 (hbUc x..w 80-6'71).
3. P':or:lMda f:om ~ -.Ie of Na1 a.D4 per_
IOAA1 property Mtbe pro?1ded b1 ~e Ped-
era.l Oo.U'IlZIleDt or PW"'Chued lZl who1e or SA
JMon W'tttl "-deal twlda. ah&ll be h&DcU.ct 1Zl
~oe trlU:l A~-....t N to U2Ja dr-
cu1a.r ~~P~~t.
4. Unlaa \h. acnemcn t pronc1_ 0UMr-
WiN. I"edp1l1lta a!WJ hu. IlO obU&attoll to
~. Pw:leral Oo..n~maDt YlUl Napeet to
rora.au. recet.ect u a rw.u1t of ClOprr1pta or
pa~u produced w:ldu the p-aAt or o\hw
acreemlll\ (... P~h I. Atta.c.h.maAt J,..
6. All OUler procram Uloome -.m.ct du.rm.c
titLe project pertod &!aJl be ret&1lleel b1 \b.
redplent loAd. SA accon:sance trltb Ce CNA\
or o~er acreemeAt.1baU be:
L- Ad4ed 10 tuncSl co~necs to tbe proJ-
ect by tM PldenJ IpoZl.aOr1nl acellCT a.Dc1
redp1ellt OI'prllzatlOD &Zld be UMd \0 turUlv
e1.1rltlle Procr&m obJectt"-:
b. UNCI to ~ Ule IlOD-Peda-a1 &hare
Of Ule proJIC't ~1Il appro?ecs b1 Ule hdenJ
~~l1AC acellCT; or
c. t)educ\ed trom Ute 10tal project cc:.ta
1za determ.1AJDI ttle Dat ClOe~ Oil whtc:!l ~.
"'-:Ier&l &ban of oc.ta W1.U be beMd.
A'fT~ z.~ Ko. A-I10
Federal Grants Management Handbook S~tember 1978
..&
~
A-110:2
.
.
Appendix I
(
Office of Management and Budget Circular A-110 (7/30/76)
f::..::..::'.:::::.
UOns from non-Federal third parU.. ~e let
fon.h below:
~. \Pa.lWltion of volUfttUT urt1;ce'.-\'0Iun-
tet:' .."ICes mal' be furn1.~hed b~' prote.ulonal
and technical personne:'" consultants. and
o~~cr IkUled and unskUled labor. Volunteer
ac'T1CeS may be counted u cost shannl or
Ir...&u:hing 1! the sernce a an' lnUiTal and
n~essu)' put of an ap;>ro":'ed pro~am.
.1) 1t4t~s lor volw71teer ,,",~ica.-R.ates fOT
<ro:unteera should be consistent with thOH
pajd for .im1lST work tn the reclpien~'1
O!T&nt.zatlon. In thOH instances In "A:hicb the
~utred Ik1lLs are not found In the reclpient
orraniZ&tion. rates mould be consistent Witb
eo.e p~d fOT slm11ar 1ro:,k tn the labor mu-
k~ 1n whlcb the redpient competes for the
)U:)d of servlCes tnvolved.
(2) VoZU71teCT' ~ploved by other organi-
a.:iom.-Wben an employer other th~ the
recipient furnishes the services of an em-
ployee. these lervtees &bAll j)e valued at the
e::'.;)loyee'S relular ~~e of pay (exclulive of
fr.nce benefits and overhead costa) provtded
these aemces are in the ame skUl for which
the employee 11 norm&1ly patd.
b. VAlUlltiOft 01 cIoftGUd. upe7Ld4ble pe1'-
~ Jlf"Dperty.-Donateod. expendable per-
IOnAl property iDcludes such Items u es-
pe.ndable eqUipment. oftlc:t supplles. labora-
~ry . supplles or worksbop and clasaToom
.~ppl1es. Value &SS~ to espendable per-
lO:lal property Included in the cost or match-
t.nr shue should be reasoIlU)le and should
not escee<1 the In&J''ket '1'alue of the property
at thettme of the donation.
c. VCUU4tion 01 don4te4. AOM~nd4bZe
".rr$0ft4l Jlf"opmv. bui14i"'9', aM lczn4 or
~e tILCTeol.
( 1) The methoc1 used. for cbUC1nc cost
~lnc or matchml for donated nones-
pendable personal property. buUdlncs ~d
l&r.d may dltfer according to the purpolt of
~e IT&Dt or other arreement u follows:
(a) I! the purpose of the crant or other
acnement 11 t.o ,,"1st t.be recipient In the
acquisition of eqUipment. bulldinp or land.
~e total ftlue of the donated property may
be cla1ined ... ~t lhar1.DJ or matchltlC.
(b) I! the purpoee of the .~eement ta too
.-upport activities that require the use of
~u1pment. bu1lc11np or Jand. depredation
at UN charges for equipment and buUdlnp
may be made. The full value of equl~ment or
oUler capital assets Iud fatr rentu cb&raes
for Jand may be aUowed provided that the
Pederal acenc:y hu approftd the cbarces.
(2) The .alue of donated property wUl be
determined 10 ~rd&nce With the usual
a.ecountlnc poltdes of the recipient With the
following qual11lcaUOna:
(a) Lon4 aNI building,.-The .a1ue of
dOnated land and bulld.1ncs may not exceed
i1& fw muket n.lue. at the ttme of donation
Ie the recipient .. ntabllshed by ~ Inde-
pendent appraiser ('-1.. cerUfled real prop-
eny appraiSer or GSA npre!entatlVeI) aDd
certUied by a respon.s1ble omc1&1 of the
reelplent.
(b) Norurpm44ble J>ef'1Oft4Z FOpCTtV.-
The value of donated nooexpenc1able personal
property shall not excHeS the f~r market
Y&lue of equipment and property of the ame
~e and cond1tton at the time of donation.
IC) v,~ 01 spG.Ce.-Tbe Talue of donated
space shall not exceed the fair rentnl \'ah:e
o! comparable space as established by an
Independent appraisal of companble .pace
~nd facUlUes In a prlvatelj-ov.-ned buUdlng
1n the same locaUty.
(d) LoaMd equi;mtt11t.-The .alue of
loaned equipment shal: not exceed Its fair
"ntal value.
S. The follo-..1:11 requirements pertain to
the reclplent's luppor;:.:1r records for In-
kind Contributions fror. ~on-Federal third
panles.
i:::===
\
{~;;;~;~..
a. Volunteer service. must be documented
and. to the extent feasible. supponed by the
same met.hodl used by the reclplent for Ita
.mplo~'HS.
b. The bull for determining the .aluaUon
for personal ,,",Ices. material. equipment.
buUd!ngs and land muat be documen~d.
ATTACHIottHT F.--cDtCV1.A& No. A-110
ftANt)AJU)S Faa nNANCUI. IUJUGEKEHT
IYSTEMS
1. Th1l attachment prescribes ltandards for
flnanclal management systems of reclplents.
Federal sponsoring a.geneltf\ shall not lmpose
addlUonalltanduds on reclpieots unless spe-
c1ftca11y prOVided for tn the appl1cable sta-
tutes (e.g.. the Joint Funding SlmplUicatlon
Act. PL. 83-510) or other attachmenta to this
ciTcular. However. PederaJ sponsonnc acen-
cies are encouraged to make sugCtstions ~d
&&slst recipients In estbaUshlni or improving
flna.nClal management synems when such u-
s1lt.a.nee 11 needed or requested.
2. Recipienta' ft.nanc1&1 D:l&ll&Iement IYI-
tems ahall provide for:
L Accurate. current ~d complete c11Iclo-
sure of the flna.nc:1&1 resulta of e&cb federally
spon.~ored project or proeram in accord~ce
with the reporting requlrementa set forth in
Attachment G to this circul&r. When a Fed-
erAl sponsoring agency requina reporting on
~ accrual bull. the recipient sh~l not be
required to est&bllah ~ aCCTUal accounting
system but Ih&ll develop such accrual data
for Ita reporta on the basis of an a.n&l~ia of
the documentation on hand.
b. Records that ldentUy adequately tbe
~urce and appl1catlon of funds for federaJly
Iponsored actiVities. These records ahall con-
tain information pert&ln1ng to Federal
awarda. authoriZations. obl1ptlona. unobl1-
pted. balances. uset5. out1&ys. and Income.
c. E1!ective control over ~d account~bUltr
for aU funds. property And other asaet.s. Re-
Cipients shall adequately aafecu&.rd all such
&Saeta and shall asaure that they ue u.aed
~lely lor author1ze<1 purpoMS.
d. ComparisOn of actual outlays with bud-
cet amounts for each ~nt 01' other &lTee-
ment. Whenever appropriate or required .by
the Federal sponsoring agency. ADanctaJ in-
formation should ~ related to perfonnance
~d unlt cost data.
e. Procedures to mtnlmlse the time elapsing
between the transfer of funds trom the O.s.
Trea.sury and the d1sbunement by the recip-
Ient. whenever funds are advanced by the
Federal Government. When adv~ces ~
made by a letter-of-c:red1t method. the recip-
Ient shall make clr&wdowns u close ... pas-
atble t.o the time of makinl dtshursementa.
f. Procedures for determ1n1nc the reason-
Ableness. allowabUlty and allocabUlty of cOltS
in accordance with the pro\'15iona of the ap-
pUcable Federal cost prinCiples and the terms
of the crant or other &&Teement.
I. Ac:eountlnc records that are supportecl
by source documentation.
h. Examinattons In the form of audits or
Internal audita. Such audlt5 ah&ll be made
by qualtt1ed Individuals ,'ho ue sumciently
independent of those who auth~rize the ex-
penditure of Federal funds. to produce un-
blued opinions. conclusions or Judrmenta.
They shall meet the independence enterla
along the lines of Chapter 3. Part 3 of the
O.s. General Accounting omee pubucat10n.
Standard~ for Audit of Governmenbl Organ-
lzatlons. Programs. ActlVit1es and Functions.
These exammatlons are Intended to aacer-
tain the effectiveness of the flnanctal IO&n-
acement Iys~ems and internal procedures'
that have been established to meet the terms
and conditions of the aiTeemtnts. It ts not
intended that each :\greement awarded to the
r.clptent. be examined. Generally. examina-
tions should ~ conducted on an organlza-
tlon-wid. buts to test the t1.se&1 interrl~}' of
Federal Grants Management Handbook September 1978
A-110:3
~nancl&l transactions. as well al compliance
wltb the terms and conditions oC the Pederal
lTanta and otber agreements. Such ~nts
would mclude an appropr1ate sampllng of
Federal alTeements. Examinations Will ~
conducted wtth reasonab!e trequenc}'. on a
conttnuln, bUiS or at scheduled luter\'w.
usually annually. but not less frequently than
.ver)' two years. The frequency of these ex-
aminations shall depend upon the nature.
siZe and the complexlty of the act"Utr. These
examlnationl do not relieve Pederal agtnCles
of their audit responslbUltles. but m&'\' atrect
the frequency and scope of such audits.
1. A systematic method to assure ttmely and
appropriate resolution of audit dndlngs and
recommendations.
3. Prlmary rectplents shall requiTe subre-
C1plents (a.a det1ned 10 pa~crapb ! of the
baSIC circular) t.o adopt the standuds In
paragraph 2. above except for the require-
ment In lubpuagraph 2e. reprdlng the use-
of the letter-of-credlt method and that part
of subparagraph 2a. reprdlng reponlng
forms and frequencies prescrtbed in Attach-
ment. G t.o thIS circular.
ATTAC'KKENT Q.-C1&C'l:71.Aa No. A-110
FIN ANCUL u:P~ alCQtTD.I:KI::Jn'S
1. This attachment prescribes un1!orm re-
porting procedures for reclplents to: sum-
mariu expenc1Jtures made and Federal funds
unexpended for each award. report the status
of hderal CLSb advanced. request advances
and relmbursement when the letter-oC-crec1Jt
method is not uaed; ~d proznulptes stand-
uc1 forma Incident thereto.
2. The follOwing dednltions apply for pur-
poses of this atta.c:bment:
a. Accrued apendittU'u.-Accrued a-
pendltures ue the charges Incurred by the
recipient durtnr a g1ven period requtr1ng the
proVision of funds for: (1) goods ~d other
tangible property received; (2) semces per-
formed by employees. contractors. lubreclpi-
enta. and other payees. and (3) other
amounts becoming owed under programs for
which no current services or performance 11
requtrec1.
b. A~ed incO'l1e.-Accrued Income is the
sw!1^> of (1) -.rnlnp during a Itven per1oc1
from (1) sen-ices performed by the redpi-
ent: ~d (U) Coods and other tangible
property deUvered to pu.rehasen; ~d (2)
~ount5 becOming owed to tbe recipient for
wh1.s(.h no current semces or performance 11
req u1red by the recipient.
c. FelkrAl jYnd.! authonud.-Federal
funda authomed are the total &mount of
l"edera.l funds obligated by the Federal Gov-
ernment. for use by t.he recipient. This
amount IO&Y Include any author1ze<1 carry-
over of unobl1pted funds from prior ft.scal
reats when permitted by law or alenc)'
regulation.
d. In-kind contributio7Lf.-In-klnd con-
tributions ue de1inecl 1n Attachment E to
thit ctrcular.
e. Oblig4tio7U .-obl1gatlons are the
amounts of orders placed. contracts ~d
iTant.s awarded. lervlces received. and simi-
lar transactions during a given per10d that
....m require payment by the recipient during
the same or a future period.
f. Outlavs.-outlnys or expenditures repre-
lent charges made to the project or progra.m.
The}' ma y be reported on a cash or accrual
basts. For reports prepared on I. cash basis.
outlan are the sum of actual cub diSburse-
mentS tor dlrect charges for ,ooc1s and serv-
Ices. the amount of Indlrect expen~e charged.
the ,"Slue of in-kind contributions appl1eC:.
:!ond the amount of cash ad\'ances and pay-
ments made to t'ubrKlpients. For reports pre-
parec: on an accrual basls. outlays are the
sum of actual cash dlsburHment5 for direct
charFes for goods :Lnd seniees. the amount
of indirect expense incurred. the value of In-
AppendiX I
Office of Management and Budget Circular A-110 (7/30/76)
JU:u1 conUlbut1o~ app1Jec1. &n4 tile IWt I.D-
cr-... lor deereuel 1D the &mOUAta 0"e4 b,
the NC1plent for 1004I &n4 other pro~
Net1Yec, for .errtc. pcr10rmed b, emplo,-
... c:onu-.ctors. aubndplentl &l)d other
pa,.. &nd other amowltl beeomtnl 01N4
tUlde pr()lT&ml for which DO c:urrent acn-
Ie. or pertO!"'Jn&l)U an ~wnc1.
I. P'r'ogrGm \ftoCOm..-Procnm iDcom. ta
~DeG 1D Att.r.chmeDt D of UUI drcu1ar. It
mar be reported 011 a cuJ:a or accruaJ. busa.
"tuUl...r Ia UMd tor 1"e'p01'UnC outJa,..
b.. t'Mbliptcd bcl4ftCc.-ne unobllpted
ba.l..ul.ta Ia the ponJon ot tile tuI1cls author-
Iac1 ~ the Pec1er'&l lpomonnr .,.ne, that.
bu ~ been obllptec1 b, me J'eClpleDt gd 1a
clnU'mlned b, dt'duc:t1ZlC the cwnu1&Un
ob~Da tJ'om fobe eumulaUft ta.A4I au-
Uloru..cL
L U~i44~ o~lifcffoN.-Por reporta
~ on a cub'bu~. UAUquiclated ob11-
...~ reprteeDt th.'e.mown of obl1c&UOu
mcur."'ed b, the nc1pteDt that hu I10t bMZl
paid. Por reporta pnp&nd 011 &D accruec1 a-
pellCUtun balla. the, MrpI'eMI1t the amoWlt
of ob:':pUo~ meun-.cs b, the ndp1eDt tor
wtuc.h &11 outlay bu DOt bHD recorded.
I. 0cJ, the foUowtnc forms wUI be all-
UloI1z.ed for obt&1l11.DC' ~ 1DtormaUOA
from rec.1plcDta.
&. ~1WlftCi4l StClt1.l.S Bqor-t (~:M~t t).
(1) Each P.den.1 q>oDSOl'U1r apDey Iball
NqU11'w rec:lplentl \0 UN the 1t&I1d&rd.1zed
~~ Statualleport to ~ the atatua
of tur.4s tor aU DOI1CO~tMZct1.oD project.a or
Jl1"'OIT'I.ma. The PedU&l q>o~ &lend.
ma,. :10 ".nr. han the optiOn of DOt ,....
qu1l'1:f the l"1n&nc1&1 Stat.ua Jt.epc:Jrt "beD
the Jt.e.qu.t tor Ad.....nca or Jt.etmb\U'MlDeDt
(pa~pb Y\ or R.epon 0: Peden.! CMl1
~.1oUl (puacrapb 3b) II determ1nec1
10 p.~de adequate 1D1'ormaUOD \0 meet.
their Deeds. DCept that a 4n&1 PmaDc1&l
Stat\>> &epon ab.&11 be requ1reCS at the com-
IllCtio: of the pro1~ "bm the Requ~ for
Ad~ or RaimbW"Mmmt form II UMd 0Dl,
tor &4.-.ncel.
(2) The Pederal 1pO~ arccT I1W1
~be wbether the repon aha.U be em a
cuh 0: &oCCTU&l bu1a. It the Peden.! .ponsor-
me ~ Nquinl &CC'U&l1Atormat1oD &l)d
the ndj:lleDt'. accounUnc ncord.I an not
DCl~y kept OD the &ec'r'U&J buia, th~ N-
dplec~ ala11 DOC be reqU1nc1 to CODTen ita
&cCQ'U::1nC 1fWtem. tun ah&U denJop wch
~ lntormat1oD Uuourh best .t1.m&teI
buecS OIl an anaJ,..sa of the c!ocumentaUOA
ac~
(3) The Pt'deral lpo~rmr &ceDey I1W1
dtter-....1n. the frequency of the Pma.nc1a1
Statua R..port for -.ch proJ~ or p~
COUlldl1"1nC the a1ze &l)d complUSty of the
pan.1C".uu project or propoam. Ho...... the
f'I'pOI'\ ahaU DOt be reqU1l'ed more ttequeJltl,
Ula.D quATterlr or I.. rnquentlJ thaD g-
nually nc~t ... proTiclt'd 1D lubpvavaph
Sa (1 ) ~n. A Anal ~ ahaU be ~u1red
at the completiOn of the acnemmt.
(t) P9der&1 apoD.SOrt=.c a.rencsu atla.ll re-
qu1:'e reel pleD ta 10 au bm1 t the P'1.D.anc1aJ
8t&tu.a a.pon (0J1I'1na.l gd DO more t.h&D
two copta) DO laYr ~ 30 clara &tter fobe
end of each spec1Aed reporunr IMrsOd for
q'Uut.erl, &Dd aeml-uuauaJ "'po",. &Dd to
csaYI for &f1l)ua1 &I1d 411&1 reporta. J:xteJl.JioJ:ll
to repofUnr du. dateS ma, be rra,nteCS upon
request of the reclpi.nt.
b. ~ 01 'Hrf'al CulL TralLlGe'tfotu
(E.:IUlttt Z).
(1) Wbell twldl an a4Y&11Cec1 \0
rec1pl.Dta Ulrourh letters of cncut or With
Tl'eUW'J checJu. the Peden.1 .ponaoriDc
...nel. sball require eacb reclpleDt to .ub-
znJt a Report of Peden.1 Cub Tran.a&ctlona.
TU l'eCSan.1aponaof1l1C ~DCT &hall use U11I
report 10 moD.ltor eUh &4T&I1Ced to reclpleDta
&Dd 10 obtaLD cUsbursement 1ntormat~D tor
-.ch armment from ;.be reclpWDtI.
(2) PeCSenJ sponaortnl &cenci.. may ,..-
qwre foreca.na of Federal cub reqUlnmeDU
1Il the "Ram&ru" NCUOD ot the report.
(3) When practical aDd deemed n.ce8U.J'f.
th. PeCSenJ IpOD.SOr1I1, agencJes may reqwrc
ncelptl to report III the "~m.uu" MCtJOD
the &mOuzat ot cu.b adTaDcu 1D a~ ot
three clara' ~maDU Ul the baDc1a of aub-
rec:lplenta gd 10 proY1de abort D.&rn.ttn u-
pla.natJolU ot -.cUOJ:ll \&ken b, the nclp1eDU
to reduce the u.ees.s 'b1J&DceL
(') KedpleDtllball be reqUired to lubm1t
DOt Ill:!'" than the ortrtnal and two eoples of
the "port of Peden.! Cuh Tr&ns&ctSona 15
work11l1 cia" tol1oW'1.D.l the eDd ot each
q\l&MC. ne Pedera1 lponaortDC ....Dclts
may reqU1n ~ monthl, :.port from toboee
rec1plenta rec:el1'\nc adTa.D':' lOt.allDr II
m1l11on or more pe!' YUZ.
(a) PeQeraJ aporaof1l1C &pDcl.. mar wal..
the requ1l'ement tor aubm1.MJoD of the ~port
of hcSeral Caa.b Tr&I1sacttOJ:ll wbeD monthly
adnnca ~ not uC'HC1 110.000 IMr reclpleDt,
pro'l1cSed Uu.t such adT&I1ce1 are mon1 tored
UlroUlh ot.her forms CODt&1Ded ~.~1S at-
t,KhmeDt,. or 1!. In fobe P.aeraJ aponaor1nC
ACtDCY'S OP1ll1oD. the TedpleDt'a account.lIlr
controla are &deqU&~ to m1Il1mlZe uceu1...
Pe~ I4T&Dces.
t. J:zcept u cot.ecl belo". oDJ, the follow-
1:11 forma wiU be auUlOrlaed tor the rec1pl-
eD~ III requUUlll l4Ta.DetS &Dd relmburM-
menta.
a. ~ tor .Aclocm.c. ~ JIet",ZNr~
(~:Mbtt oJ).
(1) EacI1 PedU'&I sponsor1l1C &(eDCY &b&1l
adopt the R.equ.-t tor Adn,llce or 1Le111lbune-
meDt u a U&nd&:'l11zed form tor aU nODCOD-
.trueUon proP'*m.I "hen letten-ot-ered1t or
predeten:D.J:1acS adT&llce m.tboc1a att not UMd.
Peden.l I1>OI1IOT1IlC acencles. bowe....r. haTe
the opUon of US1Ilr tJl1J torm for co~tMZC-
Uon procn.ms- Ul 11.u o! the Out1.&r Report
&Dd Re~u.n tor Re1mburume~t tor Con-
ICl'UctloD Prorrama (a\lbparagrapb tb).
(2) Jteclplez:u,. ahall be authonud to sub-
mit ~Unt.l for I4T&Dc" AIld re1cbune-
meDU at I~ mODWr "beD len.ers-of-
credlt an DOt used. PedenJ apotwor1llr
....Dcl.. ahall ftot reqUire the submsaloD ot
more than the or1g'1D&l &D4 t.wo cop. ot fobe
JLeques, for AdT&Zlce or Be1mbunemellt.
Federal Grants Management MandDOOk September 1878
A-110:4
la. O1aZ4r ,~ aa4 r'q1laf 1~ rlt",_
bvr~ 1~ C01LItnactio1& JIf'OVr~ (~z-
Mlttt f).
( 1) E&.ch Pe4eraJ spon.ormr &lener ab&ll
140pt ~e Outla, Repo~ and Request for R.e-
1mb~ment for Conatruetlon Prornnu a.
the l~cI&n11McS format 10 be UMd for re-
qulSt1r.i reimbursement. for CODatructloD
Prornma. n. hdenJ apo!UO~r actDC1eS
may. bowe~er. ban the OpUOD of &\ItM'tltut-
tAl the Boequest tor AdTAIlCl or RelmbW"H-
ment ~rm (Iubparacraph .a) "ben the
Pede~ &.pDd.. determ1ne that tt proTtdes
ad.quae. lntormaUOD \0 meet their De.d.s.
(21 ~p1cDts &b&l1 be auUlortzed to Wb-
mlt. ~u..tI tor relmbW'Mment at I...,
monthly "h~ lettua-ot-cred'u are DOt \IM4.
rederal apoUSOr1Ag ..,..nctes aha.ll not J'eqU1re
more ~ th. or1I'1Il&l &Dd t'IPO COpies ot the
OuUay &epon &.DCS B.oqu.t tor R.elmbW'M-
meDt for COZUtr'UCt10D Procrama.
5. WheD the PednaJ apoD.lOf1I1C ..eDdes
need a4dlt1oll&l 1n!cmnatiOD Ul \lalll, theee
fOnDS or more frequeDt report&. the tollOW1llr
ahtJl C. obMJ"'ftd:
... When &ddlt1oll&l lJ:ltormauon II Deeded
to comply W1~ Jefl.lJatlYe ~U1nmeDca.
PedenJ 1P0naormc &CeDcl.. ab&ll _ue 111-
strucUOc.s to require reclpleDta too subaut
l'Uell 1Iltormat1on under th. '"Remaru" Iee-
tloD ot the report&.
b. Wbm Dee_S&rJ \0 meet I~C pro-
Iu.m aH4s Peden.llpontortr1f &pDcl. ab.&ll
lubau: the proposed report1:J reqUlnmeD~
to the P\n&:lclaJ Ma.naccmellt Brancb. BUdret
ReTtew 01'11.1100. Omce of MAnapmeDt aDd
BUdret for approY&1 prsor 10 aubmlUl0D of
the rY;lCrta for cJe&l'lLI1ce under the pro-
Ttsloru of OMlS C1rcu!ar No. A-IO.
e. ~.D a "-deraJ 'poNlOrtar aceDcy bas
determ1r1eCS Ul&t a recipient" -.ccountlllg 'ra-
tem ct.oes DOt meet tJle St&:1d&rd.a tOT Pt-
I1ane1tJ Wa.n&remct oont.a1Ded ill Att.aeh-
meat P too t.hls ClJ'cUlar, addlttoD.&.l JNrtUleDt
tIl!o~on too furtber mon1toor P'&llta &Dd
other .,rNmeDta mar be obtaUled UPOD
Wr1tteD DOtlce \0 the rectp1eDt unW such
time ... the lJS~m 11 brourht up to at.l.lldard.
c1. ne Pederal Iponaor1ftC "eney. 1Il ob-
t.a.l.DU1r lnfcmnat10D ... ill PancnPhs a. b
&I1d c a.bon..;nuat compl, With report cJesr-
&I1C1 nqulreaienta of the OOee of ~
ment &Z:ld Budret C1l'ew&r No. A-40, ... re-
T1Ied.
e. Pe<Sera.J Iponaor1llC &react.. ban ~.
opt1on of Iha41Ilc out any 11Ile item OIl &D1
repon t.h&t 1.1 unneeeU&rJ for deelS1oD-mak-
lqp~.
7: Peden] IpOnaortDr ..,eZldtt abould ac-
cept the ideDt1c:&1 iIltonnattoD from the fe-
ClpleDtI LD znac:.h1ne uaable format or com-
puter pr.ntouta In Ueu of prescr1bed tormata.
S. Pedn'&! Iponsor1Dr arend.. ma, pro-
Ttd. cccputer outlluta to redpleDU "hen It
w1.U uped,H.e or COD tribute 10 \he IlCCUraCJ
of repor't1llC.
t. Peden.! Iponaortn, areDdes are author-
lac1 to ~roduce thut torms. The forms tor
r.prOdu~on ~uTpoHl can be obt&tnt'd from
the Omce of Ma.IlSoiemeDt aac1 Budcet.
t.......c
.
.....-- .
.........~ ..... ~
r...-....-.
.
f:%f;~t.
Appendix I
.
Office of Management and Budget Circular A-110 (7/30/76)
ATTAoC:XMDfT a~ Mo. A-I10
MOJrr.'O&1)rO 4JrD au-oanJfG nOGa.AM
n:&rOU&.Ufa
1. Tbu attacbmeDt uta torth the proce-
dures to~ znonitertnr and nportlnl prorn.m
perfo~ce or rOdpleDu.
2. R.ec:;uenta ~&11 moIUtor the perfo~ce
under ~t.s &.Dd oUl.r loCT"meDta &.Dd.
where &;)~roprt.t.t, en.ure that tune lC.b.d.
we. an t>e1nr met. proJ~ work Un1ta by
Ulne pe~' are belnC accompHahed. and
ot.bcr pe~or:n&nce roaa an b.inc &C.blend.
TbU rn'\nr ah&ll be ma.c1e for ueh program.
funct1on. Of actJnty or each a.cnement .. Nt
forth 1n ~e .pprond apPuC&t1on or aW&n1
docume=.t.
3. a.c;;lenU &ball .ubm1t a ped01"mADce
Nport i~le&1 nport) tor each &lTHment
\hat br1a~y preHnt.s t.be foUow1nC i%11oTma-
t.1on for eaeb pro('f'&m. tunC't1on. or KUnt}'
Inyolye~ u preac::'ibec1 by the Pec1eral. lpon-
.or1nC &ftnr:y:
&. A cc::::;>&r1Son of actual &CCompllsbmentl
1I1th the roals est.&bll&bed ror the perloc1. the
auc:.mcs at the In....Urater. or both. If th.
OUtput o! progT&ma or proJecu can be N&4Uy
qU&nt~ec1. lucb qU&ntlt.&t1',. c1ata &bowd
be rel&tK to COlt data for computat.1on of
unn con~.
b. a.ua.o:u wby en.a.bUabt<1 roaJ.I wert not
met.
e. Oth~ ;>ert1nent lnformatlon lnclud.1nr.
...ben ap;:-oprlate. a.n&1ysis and explanr.Uon
or cost oYe~ns or bJrb unit COltS.
4. Ex~t .. prondec1 In a &.Dd. b below.
&.Dd In n:bp&raiTapb 3&( 1). Anaebment G.
nc:pt.nt.s &ball lubma th. performance or
tec.bn1c:a.: rtport.s to Pec1eraJ s~o:aor1nC &Cen-
des &.Dd tb. P1Dane1&l Status lteports CO...
er1D.i tbe &&.me pertod In the frequency estab.
11sbed by A tt&Chm.nt G of th1s Clreu.l&r &.Dd.
wbere ~~ropr1&t.e. a An.&J technical or per-
for:na.nce "port &Iter camplet10n ot the
proJect. ~ a date S~ed by the Pec1eral
sponsor.=.C &I.ney. The Pederal aponsorlnc
&Cener s:.&ll pl"ftcnbe the frequency W1th
WhJd1 the perlonn&.Dce repof't.s w111 'be lub.
mitt.e<1 ..,t,b the requut for ad..&.Dce or relm-
buner:1e:: ....hen that form is used 'n l1eu
or t..~. P"'.:a..nel&J Status Report. Except... pro-
"I1ded for In pan.gnpb 5 below, perlorm&.Dce
f'e1)orta aJ:.&1l not be reqwrec1 more frequently
than qu.a.-urly or less frequent1y tha.n &.D-
nually. Ped.n.! aponsortDc &Cencles may
wain the requ1T.ment for rec1pl.nu to sub-
mit per1e~ance reporu W1th the ~nc1&l
r.port.a u::.der th. folloW'lnC circumstances:
L Whe~ the recipient 11 requ1.rec1 to .ub-
m1t a pe::':ormanc. nport W1th a CODtlnua-
UOn or n~ew&J appl1cat10n.
b. When the Jl'tderallponaortnr &lency de-
termines that on.l1te 'teebnlc&J 1nIpectloUS
&.Dd cer-~ec1 compleUou c1a~ Will be sum-
dent to n'&luate construet1cn proJeeta.
C. Wben th. Pec1er&l aponsortnc &Cencr "_
qu.ta ~\l&1 !inanet&J r.po"" on a 1'bc&J
y.ar buu but it u necessary to let annu&J
prclTesa ~pOTtl on a e&J'ndar ,ear b...l.I.
5. B.:..."n the requ1.r'ed perform.n~. n-
ponlnl Cates. .....nts may ocC'Ur Uut haYl
1l(n11ica::t ImpACt upon the project or pro.
1Ta.tn.. In sucb Instances. the recIpient &hall
Inform \b. F.der&1lpon.sortne acenc.,. U .oon
.. the to~lowlnr tn>es of cond1Uons become
ltnOW11:
a. Probl.ma. d.elays. or adyers. coDdlt1cnl
that wu: materl&Jly .ffect th. abUlt: to at-
taIn p~CT'am obJectty... p,..nnt the m..t-
lnr ot t1::o. aeheduln aDd loala. or preclude
the ut&lr.:nent of proJect work unitt b~ .._
tabll&h~ time p.r1od.. Thsa d1acloau~e .h&1J
be accotr.;lanlfoC1 by a .tatemtnt of the action
takeD. or contemplated. and. any "eder&! y_
,I.tance Dt'ld.d to re.oh. the .ltuat1on.
b. "."crable du.lopmlnta or uenta that
.nable ume tcht<1ulea to b. met IOODt: than
a.nUC1p.t.ed or men work uDJU to be pro-
duced tb&.D 01'1(in&11, proJected.
e. If &.DY performance renew condUcted
by the recipient dlac:los_ the nHd tor Ch&.Dce
In the budCet .stlmates In accordance With
the ernert. atabl1shec1 In Attacbment J to
th1.S C1TC'U1&r. the reclpl.nt .b&Jl .ubmst a n-
qu_~ for budalt nV1aien.
'7, Th. !'eder&J aponsorlDC Acency &h&Jl
maJte lite 'Y1Ilta .. frequ.ntly .. pracUc.ble
\0:
L Renew PI'O(!'&m accompll.lhm.nts .nd
m&Da,ement control .ystems. &.Del
b. Provtde IUch tec:hnlC&l &saist.anc:e ...
may be reqU1red.
.. Jl'ed.r&1 sponsorinr &CeDcla Iballl~bm1t
pro~ tech.n1cal &.Dd pertoTmance nports
to the omce 01' MAn&cement a.nd Budget for
approy.lln &cCOn:1ance 1I1tb th. reper. clear-
a.nee requtnmenu of O),{B C1rewar No. A....O
.. re..ue<<1.
AnACHXDrT I.-<:mctn..\& No. A-1I0
P. TMJ:2fT UCl1:1D.DlDrTS
1. ThJ.s .tt&chm.nt es~1shes fobe re.
qU1Ted methoc1a ot malt1nr paymenta to rec1p-
lents. These methods wW m1n1.m1z.e the Um.
elapat.nc betW": the dJ..sbw-sement by th.se
ree1p1enu a.nd the tn.nstu of fund.s from the
o nl t.ed Sta t.es Tr.uury to th Me rec I p len ts
whetb.r J\1d1 d.1sbun.m.nt oceun pr10r to
or subHquent to the tnnsfer of fun4s.
2. Paym.nts C&.D be made to rec:1p1enta
throurb a ~tter-ot-a't<11t. &.D advance by
Treuury cheek. or a re1mbu.-sem.nt by Tr....
.ury cbecx. The tOUowtnr d.An1t1ozu apply
for the purpoae of thu att&ehment:
a. Lertn-oI..cred.tt.-A letter-of-c::-ed1t is
&.D Instrum.nt ceru~ed by &.D author1Zed om-
CIa.! ot a 1'ec1er&J sponaoT1DC agency that au-
thor1:eS a reclpl.nt too draw funds when
nHdtd from the Tre.a.s ury , througb aPed-
e:-&J Rese"e ba.nk and Ua rec1pl.nt's com-
merc:1&1 b&.Dk. In accor11&nee w1th tbe provi.
liOns of Treuury C1Tewar Mo. 1075. .. fe-
"1MG.
b. Ad~nc~ by Trea.ntry ch~ck.-AD ad-
.anee by Treuury cbeck 1.1 a payment m.de
by a Tre&.sury cheek to a tec1p1.0t upon Its
request before outlay. an m~e by the
recipient. or throuCb the UN ot predet.er-
mtned payment acbec1wes.
c. .Ilesmb1lrlnne'7\t by TreCU'U~ clUck.-A
reunbunsement by 'I'reuury cbeck 1s a Trea.s-
ury d1ecJt palel to a recipient upon requat
for reunburaem.nt from the reCipient.
3. !:zcept for construction JT'az:ts &.Dd
other c:onstrUctJon ail'ftrnenta fer wh!ch op-
Uon&1 p.yment methoc:1l an authonuc1. &.s
desrnt>ed In paraJT'aph S. the letter-ot-cr.dlt
m.et.bod Iball be used by Pederal sponsortnc
&fenellS 11 &11 ot the foUo...lnc condltJona
.JUst:
.. If then II or ...U1 be a conUnulnc rela.
Uonsb1p betWHn a ree1plent &.Dd a Tederal
spcnsorlnc &I.ncy for at le&.st a 12-month
period &.Dd the total &mount of aelva.nee pay_
menta expecwa to be recetnd W1thU'l that pe-
r10d from the hdtral apon.ortng a(enc)' 1S
a.250.ooo or mono ... pre'c:r1bec1 by ~e&'ury
Circular No. I07S. Por JOint funded pr;)J.etl
the Treuury haa author1U<1 a dolla.r criteria
of 1120,000.
b. It the 1"eClplent has establlahec1 or d.m-
on.stra:.d to t.b. Pec1era.l Iponsortnr acency
the Wlllinrn.... &.Dd ablUty to maintain pro-
c.CSuru that WIll m1nlm1u the t1m. elaps-
Inr betw.en Ule tnnst.r ot func1J and th.lr
d1abunem.nt by Ule reclpllnt.
c. U the recipient'. ftnAnclal manar.ment
.ntem m..ta the .tanc1arda for tund control
and accountabUlty preac:-ibed In Attachment
P to tbl.l Ctrcular. "Standards for nnanetal
Manarement Sy.t.m....
"Th. method of adnnc1nr h::'\d. b:r
Tr.uury chlek .hall b. us.d. In accorda!"ce
With lb. proTll1on. of Treuury Circular No.
Federal Grants Management Handbook September, 878
A-110:14
10'15. wben the recipient metu all of Ua. ft-
qU1remtnu .peclned in p&r'&(rapb 3. aDov..
except tbon In IUbpararrapb 3a.
~. The relmburaem.nt by Tr...ury check
metbod &h.1l be the prl!'rTed method If \he
rec1plent does nOl m..~ the r.qU1remanu
apec:11\ed 1n .ubpar&fJ'aphs 3b &l\d 3c. &.bo...
At the option or the Pec1.r&1 lpo=-onnr
l.(eDcr. tb1. met.hod may a.1ao bl UNd on &.DY
construction aJT't'lment. or If t.be malor pol'-
t10n ot the progTam sa accompl1ahed th..rougb
prtyate market !inanclnc or Ped.ra.l 10&D.&.
a.nc tb. Pederal ...,ut.&nce COD.lttt.uta .
minor portlon of the prornm. When the re-
imbursement m.thod is vaed. th. Pederal
Iponsor1DC &ienr:y &hall ma..lte payment.
WlUun thirty day' &Iter rec'IPt or \.b. blUlnC.
unlus tbe bWlnr la lmproper.
e. Wben the letter-or-eredlt procedure 1a
uUci, tbe rec1plent ahlJl be 1aued ODe con.
acHdatee! lett.er-ot-credlt wbenenr pcsuble
to coyer antiCipated cub need. for &II (T'&l1ts
&.Dd oUle: arrHments awardecS by the IpOD-
acnne agency. Uk.wise. to th. extent peal.
ble. ...hen the adyanel b, TnuW"'J ebeck
method sa used. &e1Y&.Dces showd be CUD-
aol1dat.ec1 (pooled l tor all rranu &.Dd oth.r
&(fum.n:.: ma4e by th. &poruorlDC a.renr:y
to that reclpi.nt. I
'T. 'Cnl.ss oUl.nr1.. requlred by 1..... Ped.
eral SpoosoT1n( &C.nc1es shall not W1thhold
paym,nu ror proper charres m&.de by reclpi-
enta at aDY Ume dumC th. project or pro.
Jt1'&.m p.r1od unl.ss (a I a reCipient hu failed
to comol, with the progT'&m obJect1'Yel. aWV'd
conditions. or Federal reporting J"eqU1n~
ments; or (b I the reCipIent II 1ndebte11 to
Ule United St.a:..s. and col1eetlon of the In.
debtedneu wUl not unp-.!r aceomplishrnent
or the obJectlYes ot a project or procn.m
spous:>red by th! United States.
t1nde~ such cond.1tlous. the apon.aorlnC
arenc:r may. upon rtuonable noUce. Inform
the rec1plent that pajtDenu 11111 not be made
for obl1raUons incurred &Iter a Ipec1.Iied d.te
11nt11 the c:cnd1tions are corrected or th. In-
debt.dnen to the Pederal Go...rn.ment II
l1qUld&te<1.
ATT4C11MDfT J.-<:%aCVt.U Mo. A-110
~P10H OF rnt4HC1A.1. "-'UfS
1. Th1s att.a.cbm.nt aeU forUl cr1ter1& &.Dd
Frxec1ures to be followeQ by Pedera.l S'pOn-
aortng agenCies In r~ulrlng reclp1enu to re-
pon .deviatlons from lmanc1&l plana a.nd to
request approy&1. for fin.new plan ,....
"islons.
2. The ~D.&nc1&l pl&.D 11 the 1in&.Dc:1&J n;-
prea.lon of the pro Ject or procram .. ap.
proved durtnr tb. .ppl1C.&tlon and/or ....&n1
proC'ess. It may include eitber tbe hcS.nJ &.Dd
non-Federal Shan. or onJ.,. the hd~ra.l &ban.
d,penel1DI upon apo:aortnc alency requ1n-
ments. It &bould be related to performance
for prornm n&1uAt1cn purpoMS ...h.neyft'
appropriate and requ1Tec1 by Ule J!'t<1eral
aponsonn& a(ency.
3. 1'or noneonstruetlon awarc1J. reetpient.a
rh&JI immediately requut approY&.la from
Pe:1eral Ipon.orlng &lenct.. wben there u
rtuoD to belteve that wtthln the Dnt uyen
days a rev1.10n wUl be neeeu&r')' tor Ule
rollowlnC reuons:
a. Cbanres In the scope or th. obJectl" of
the project or prolT&m.
b. Th. De.d for &.ddltlonal hd,raJ fund-
lnl.
c. Thl transf.r of amounta budreted fcr
lndirect COItI to ab.orb lncrt'UeJ lndlrect
COlta or YICe ".raa. " approyal la required
br the "'deral .ponaortnl ac.nC'1.
d Tbt .xpenCSlturu u re(Outre approyal In
accordanc. With niC '3-1. "Coat PTtne10let
tor l~ucaUonal I:\IUtuUona." ?'or a11 other
a..ardl approval feQulrem.nu for oth.r
Item, ot expendItures may be lmo~e>d If lh.,
art con.:st.nt With tho.e In J"MC '73-1 No
other requlremlnta tor 'P'Cl1ic n..rna may be
f
~......n...
(
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.--...-
'"
(
F:::..:.o
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\.
Appendix I