EPA Publication Number 202K09001
EPA Contract Number EP-W-08-042
Learner Manual - Module 2
Assistance Agreement Awards
TRIBAL, U.S. TERRITORIES AND
INSULAR AREAS ADMINISTRATIVE
AND FINANCIAL GUIDANCE
MANUAL FOR ASSISTANCE
AGREEMENTS
"A Nation is a stable, historically developed community of people
who share territory, economic life, distinctive culture, and language.
Office of Environmental Justice, U.S. EPA
U.S. Environmental Protection Agency
Updated August 2013
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Module 2: Assistance Agreement Awards
This manual was originally developed by the U.S.
Environmental Protection Agency for Tribal Nations,
but content also pertains to U.S. Territories and Insular
Areas. Exception: U.S. Territories and Insular Areas are
treated as states under Part 31 (and also under Part 35,
Subpart A for PPGs, unlike Tribes that are covered
under Subpart B).
Contents
MODULE 2: ASSISTANCE AGREEMENTS.
PRELIMINARY INFORMATION
THE AWARD
MANAGING THE PROCESS
APPLICATION AND REVIEW PROCESS
...3
...5
...7
.10
Assistance Agreement Awards 10
TERMS AND CONDITIONS 13
Administrative 14
Programmatic 14
High Risk 14
REPORTING AND MONITORING 15
Reports 16
Closeout Letter 17
Retention 17
ATTACHMENT TO MODULE 2 19
Answers to Quizdom Actionpoint Questions 19
EPA Tribal, U.S. Territories and Insular Areas Administrative and Financial Guidance for Assistance Agreements
Last Updated April 2013
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Module 2: Assistance Agreement Awards
Module 2: Assistance Agreements
Tribal, U.S. Territories and
Insular Areas Administrative and
Financial Guidance for
Assistance Agreements
Module 2:
Assistance Agreements
Assistance Agreements
Module l: The Grant
Module z: Assistance
intabilny and
™-s !cv V; OTATA)
Preliminary Information
Why does EPA give assistance agreement
awards?
A large part of the Environmental Protection
Agency (EPA)'s mission is to partner with
American Indians and Native Alaskans (AI/NA) to
protect the environment and public health. The
goals of this mission are accomplished by awarding
federal funds to Tribal Nations and Tribal
Consortia to conduct environmental programs and
projects.
Communication supports program goals and
objectives.
Close contact between
Region 8, EPA, and the
Center for Disease Control
(CDC) enabled students to
successfully complete a
hazardous waste operations
and emergency response
class. More students passed
the certification test than in
any previous training group.
(HAZWOPER class at Turtle
Mountain Community
College, Region 8, 2008)
Funds
• In fiscal year 2010, more than $210
million dollars were available to Tribal
Nations and Consortia in assistance
agreement funding and technical
assistance for work related to
environmental projects.
• Some grant programs require the grantee
to match all or a percentage of the federal
award.
How much money is awarded in assistance
agreements?
When EPA awards funds for a public purpose, it
uses a legal instrument, called an assistance
agreement, which may be either a grant or
cooperative agreement. The U.S. Government is
not substantially involved in projects funded by
grant agreements; involvement is greater in the
case of cooperative agreements. In fiscal year
2010, more than $210,000,000 were available to
Tribal Nations and Consortia in assistance
agreement funding and technical assistance work
related to environmental projects.
Many awards require the recipient to match funds
provided by the federal government. Match or cost
share requirements are identified in the Catalog of
Federal Domestic Assistance (CFDA) listing.
Match is not negotiated. The CFDA sets forth the
match requirements. There can either be a statutory
match, regulatory match, or match imposed as a
matter of policy.
EPA Tribal, U.S. Territories and Insular Areas Administrative and Financial Guidance for Assistance Agreements
Last Updated April 2013
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Module 2: Assistance Agreement Awards
For example, in a 100% or an even match, if the
grant totals $1,000,000, then the Tribal Nation is
required to contribute $1,000,000. Some grant
programs require the grantee to match a percentage
of the federal award. For example, the grant totals
$1,000,000 and the match is 25 percent; the
recipient must contribute $250,000 to cover project
costs. In general, match costs or contributions may
be provided by the Tribal Nation, state
government, or other entity. Any additional
funding provided by the grantee would constitute
voluntary match or leveraging. Contact your EPA
Project Officer to determine if match funds are
required.
More Than 55 EPA Programs
All of EPA's assistance agreement programs
are listed in the
l \iluli>g< 'I Federal l^uiiie.vtic AssixUiniv f(TDA).
What kinds of assistance agreement programs
are available?
EPA's environmental statutes are the legal basis for
funding assistance agreements. All of EPA's
assistance agreement programs are listed in the
Catalog of Federal Domestic Assistance (CFDA),
which is maintained by the General Services
Administration (GSA). Currently, EPA has more
than fifty programs listed in the catalog.
What does your Tribal Nation need?
Plan ahead!
Policies, Procedures, and Processes"
Policy is a rule or goal, a course of action set by a
governing organization.
Procedure refers to the actions taken to conform
to a rule, a prescribed series of steps taken to
achieve the goal, or the way in which policy
goals are achieved.
Process refers to a formal set of operational tasks
performed or procedural steps taken, such as
regular duties performed the same way each
time.
What needs to be in place before the award is
received?
Does your program have the essential systems,
policies, procedures, and documentation necessary
for compliance with EPA assistance agreement
regulations? Establish internal control procedures
to ensure your systems can comply with federal
grant projects.
Policy is a rule or goal, a course of action set by a
governing organization. Policies apply to all
programs and projects.
Procedure refers to the actions taken to conform to
a rule, a prescribed series of steps taken to achieve
the goal, or the way in which policy goals are
achieved. Procedures are usually set by
administrative or management personnel to help a
department or project function efficiently.
Process refers to a formal set of operational tasks
performed or procedural steps taken, such as
regular duties performed the same way each time.
Processes are essential to effective completion of
repetitive tasks.
Use the EPA Administrative and Financial Onsite
Review Questionnaire (provided inActivity lO.c
and the Appendix) to periodically examine the
systems, procedures, and controls set up at the
organizational level. EPA Project Officers and
Grants Specialists, along with single auditors and
others periodically review for compliance but are
in no way a substitute for a sound fiscal system.
Sample policies and procedures are provided
throughout Module 7 and in the Appendix.
To be selected for an EPA assistance
agreement award, an applicant must:
lit: digibU' (r.g,,satisfy nil eligibility criteria)
Have systems in place for RT&nt
management
Provide jus ti fla bit'* rea sons, whv assists n cc
Supply a work plan, budget, and assurances
File all Applies Lion tlocutncnLs by the
required due date
EPA Tribal, U.S. Territories and Insular Areas Administrative and Financial Guidance for Assistance Agreements
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Module 2: Assistance Agreement Awards
How do we receive an assistance agreement
award?
To receive an EPA assistance agreement award, an
applicant must:
• Be eligible (e.g., satisfy all eligibility
criteria)
• Have systems in place for grant
management
• Provide justifiable reasons why assistance
is necessary
• Supply a work plan, budget, and
assurances
• File all application documents by the
required due date
• Be selected for the award
""ISS
Stay Off the High Risk List!
High risk designation does not
prohibit a Tribal Nation from
applying for and receiving awards,
but it can reduce their chances of
being selected to receive a new
award.
their ability to manage federal award funds.
Debarred entities cannot receive grant funding.
Debarred entities are listed in the System for
Award Management at https://www. sam.gov.
Some grant programs require Tribal Nations to
obtain Treatment as a State (TAS) eligibility
approval. Programs that may require TAS
eligibility are listed at
http://www.epa.gov/tribal/laws/tas.htm. If you have
questions about the nature of TAS eligibility in a
certain grant program or you want to learn more
about Treatment as a State, contact your EPA
regional or program official. Contact information is
provided at
http://www.epa.gov/tribal/contactinfo/index.htm.
A Tribal Nation m/ght NOT receive an EPA
assistance agreement award if the proposed
project involves an organization:
A. Never cited for non-compliance
B. Complies with regulations
C. Listed as a high risk agency
D. Never cited with high risk audit findings
E. All of the above are correct.
Most grant recipients have no trouble complying
with federal regulations. However, a few
experience problems that cause federal agencies to
question the recipient's ability to manage grants
effectively. Organizations that have a history of
difficulty with audits may be designated as high
risk for accounting reasons only. This level of risk
can usually be remedied by conducting a more in-
depth OMB Circular A-133 single audit.
Organizations that are unable to remedy these
problems in a timely manner may be required to
work more closely with EPA regional office staff.
High risk designation does not prohibit a Tribal
Nation from applying for and receiving awards, but
it can reduce their chances of being selected to
receive a new award. The debarred list does
prohibit a Tribal Nation from receiving awards, so
make sure your organization stays "off the list".
Talk to your regional EPA managers often.
If high risk problems continue, the organization
can be debarred. Organizations identified on the
debarred list have failed to comply with regulations
to the degree that federal agencies no longer trust
Responsibilities Timeline: Startup
The Award
We got the award! Now what do we do?
Congratulations on receiving an EPA assistance
agreement award. Everyone involved is responsible
for the success of the funded project. EPA wants to
help you make the most of this opportunity.
EPA Tribal, U.S. Territories and Insular Areas Administrative and Financial Guidance for Assistance Agreements
Last Updated April 2013
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Module 2: Assistance Agreement Awards
Learner Notes
This is a great time to stop and take a hard
look at a real award document. Review
your assistance agreement award. If you
do not have an award document, you may
use the example in Activity 2.a, located
online at www.petetribal. org.
Learner Notes
Visit the EPA website at
http://www.epa.gov. You will find some
exercises to do in Activity 2. b (found at
www. petetribal. orgX
Who is responsible for the success of an
assistance agreement award program?
A. EPA
B. The Tribal Nation
0. Regional EPA Officers
D. Project Managers
E. All of the above are correct.
What types of assistance are available
to a Tribal Nation after receiving an
assistance agreement award?
A. Administrative and financial guidance manual
B. Training sessions
('. Web-based training modules
D. Regional support personnel
E. All of the above are correct.
EPA Assistance: More than Money
Where can we get more information?
Federal funding requirements are complex. EPA
provides assistance to help recipients meet those
regulations in a timely and professional manner.
The Tribal Administrative and Financial Guidance
Manual for Assistance Agreements is just one of
the many types of assistance available. Training is
also available through your regional EPA office.
Visit the EPA website or contact your EPA
Regional Coordinator to learn about other types of
assistance.
Where can we learn how to manage
our award?
A. EPA website
B. EPA Regional Office
C. Guidance manual
D. Training
E. All of the above are correct.
EPA Tribal, U.S. Territories and Insular Areas Administrative and Financial Guidance for Assistance Agreements
Last Updated April 2013
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Module 2: Assistance Agreement Awards
Managing the Process
What are the rules and regulations?
The alphabet soup of rules and regulations can be
confusing to even the most seasoned grants
manager. A little time spent examining them can
save a lot of time and trouble later on. Copies of
the applicable rules and regulations are provided in
the Appendix.
Learner Notes
This is a good time to become familiar
with the EPA rules and regulations with
which an award recipient is expected to
comply. Take a few minutes to learn how
to read them by completing Activity 2. c
(found online at www.petetribal.org).
When in doubt...
ask your EPA Project Officer.
• Project Officers (PO)
focus on programmatic components like
work-plan accomplishments and budget.
• Grants Specialists (GS)
focuson administrativeand fiscal
componentslike written procedures and
accounting systems.
How do we know if we are managing the
assistance agreement award correctly?
The Tribal Nation is responsible for evaluating its
own compliance during the life of the grant. EPA
Project Officers and grant specialists will also
evaluate compliance. Some responsibilities
overlap, such as compliance with "terms and
conditions" and revision of budgets. Project
Officers focus on programmatic components like
work-plan accomplishments and budget. Grants
Specialists focus on administrative and fiscal
components like written procedures and accounting
systems. If you are in doubt which person to
contact, you should contact your Project Officer
and pose your questions. They will let you know
whether you need to involve the Grants Specialist.
Contact List with Tracking Document
Surname First Name
Responsibility
Title
Org.
Address
City
Phone
Email
State
ZipCode
fax
Website
Questions
Dates
Comments
How can we keep track of all the people involved
in this process?
Create a list of contacts for each project. Keep
essential information handy.
• Track dates for each contact made and
record what was discussed and decided in
your project file.
• Track due dates for reports and project
evaluator visitation dates.
• Record questions as they arise, so you have
them with you when you talk to the
responsible party.
• Communicate with your Project Officer
often.
Learner Notes
Activity 2.d (found online at
www.petetribal.org) asks you to copy
contact information from your award
document to the Contact Information with
Tracking Document. A full page Contact
Information with Tracking Document form
is provided in the Appendix. You may add
as many additional pages as necessary and
should update contact information often.
EPA Tribal, U.S. Territories and Insular Areas Administrative and Financial Guidance for Assistance Agreements
Last Updated April 2013
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Module 2: Assistance Agreement Awards
American Indian Environmental
Off ice Tribal Portal
l/l/ho do we contact when we have a question?
There are a total of eleven (11) regional Grants
Administrative Units. One is located in
Washington, D.C. at EPA Headquarters. Ten are
located in EPA Regional Offices across the
country. Headquarters and regional office contact
information are listed in the Appendix.
Each Grants Management Office (GMO) has its
own unique website. Regional websites are
accessible through the EPA's main website
address, http://www.epa.gov/. Click on "Contact Us"
at the bottom of the page. Then click on the
number for your region or select your state/
territory from the drop-down menu. You can also
find EPA regional office contacts "where you live"
at the American Indian Environmental Office
Tribal Portal, http://www.epa.gov/tribalportal/. The
American Indian Environmental Office Tribal
Portal is under the American Indian Environmental
Office (AIEO) which is within the new Office of
International and Tribal Affairs (OITA).
Learner Notes
Visit the American Indian Environmental
Office Tribal Portal,
http://www.epa. gov/tribalportal/. Activity 2.e
(found at www.petetribal. org) asks you to
record contact information for your EPA
regional personnel from this website onto
your Contact Information with Tracking
Document form.
EPA Regional Offices
G
The Grants Specialist and Project Officer work in
the regional office that serves your area of the
country. They are your primary points of contact.
They can answer any questions you might have.
The Grants Specialist is designated during the
application process. The Grants Specialist is
responsible for ensuring administrative compliance
with regulations, statues, and policy.
You will be assigned a Project Officer during the
application process. If you already have an
established relationship with EPA, you probably
already have a Project Officer. The Project Officer
should be the person you go to first with any
program questions or concerns not covered in the
manual or explained on EPA websites.
EPA Project Officer Role
• The EPA Project Officer (PO) arranges:
• Regular meetings
c I'hone calls
• Programmatic report films deadlines
• Significant changes in the project must he
negotiated with the PO,
What does the Project Officer do?
The Tribal Nation's Project Manager should be in
constant contact with its assigned EPA Project
Officer. Your EPA Project Officer is there to help
make your assistance agreement a success. They
can assist you with issues or questions that come
up as you are implementing your work plan and
help guide you through the applicable
requirements.
EPA Tribal, U.S. Territories and Insular Areas Administrative and Financial Guidance for Assistance Agreements
tast Updated April 2013
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Module 2: Assistance Agreement Awards
The EPA Project Officer arranges regular
meetings, phone calls, and programmatic report
filing deadlines with you. Significant changes in
the project must be negotiated with the Project
Officer. Significant changes are defined in other
sections of this manual. Contact information for all
persons involved in the project should be updated
regularly, at least once per year.
Map a Planning Calendar
Jm
Jan
M
Jibb-iii
Mar
Apr
-
May
fc^...
Jun
-
Jul
**«..
Aug
Sep
Oet
Nov
Dec
1
"',".'"
Reporting requirements are explained in Modules
3, 6, and 9 of this manual.
Personnel work in tandem.
How do we contact EPA?
The only way for EPA to know if training is useful
to you is to receive feedback. Please share your
comments and suggestions by contacting EPA.
U.S. Environmental Protection Agency
Ariel RiosBuilding
1200 PennsylvaniaAvenue, N.W.
Washington. DC 20460
Tel: (202)272-0167
TTY (speech- and hearing-impaired)
(202)272-0165
http://%v"iuv.epa.gOY "Contactus"
A good way to keep track of important events
during the award period is to map out a Grants
Management Planning Calendar with your Project
Officer.
Learner Notes
Activity 2.f (online at www.petetribal.org')
asks you to draft a Grants Management
Planning Calendar for your award project.
If you do not have your award document,
you may use the sample work plan
provided for this exercise.
The above address isforERft Headquarters. ForspecificquestionscontactyourEPft Regional
Office. The address and contact information can be found in your grant award document.
Typical Reporting Schedule
Quality AssurancePlan
(if required by the program}
Work product/deliverables
(progress reports)
Disadvantaged Business Enterprise
(DBE) Utilization
(EPA Form 5700-52A}
U.S. EPA Payment Request
(EPA Form 190 or SF 271for
Federal Financial Report
(SF425)
Final Performance/ Technical
Report
Final Federal Financial Report
(SF425}
As stated in the award "terms
and conditions," usually within 60
days after accepting the award
As stated in the award "terms
and conditions"
As stated In the award "terms
to two weeks
15 days after end of each
calendar year (January 15}
Within 90 days after end of
project period
Within 90 days after end of
budget period
EPA Regional Office
EPA Regional Project Officer
DBE Regional Coordinator
Las Vegas Finance Center
(LVFC}
Las Vegas Finance Center
(LVFC}
EPA Regional Project Officer
Las Vegas Finance Center
(LVFC}
EPA Tribal, U.S. Territories and Insular Areas Administrative and Financial Guidance for Assistance Agreements
Last Updated April 2013 Page 9 of 21
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Module 2: Assistance Agreement Awards
Application and Review Process
Recipients demonstrate their commitment
to carry out an award by either:
l. Drawing down funds within 21 days after the
EPA award or amendment mailing date; or
2. Not filing a notice of disagreement with the
award terms and conditions within 21 days
after the EPA award mailing/issuance date.
(Keep copies for your files.)
Application and Review Process
What do we need to know about assistance
agreement awards?
Assistance Agreement Awards
When an award is made, the recipient (that's you)
receives an award package.
An EPA assistance agreement award package
contains:
• An award letter
• The award document, explaining the
"terms and conditions" for your project
When does the agreement become legally
binding?
An assistance agreement award is a binding
agreement between the Tribal Nation and EPA.
Both parties promise to work closely together.
There are times when the Tribal Nation will need
to communicate with EPA:
• At the start to initiate the project
• During the project period when written
program and financial reports are due to
EPA
• During compliance review audits when
EPA may visit to review the Tribal
Nation's policies and procedures as well
as the project files, which reflect
monitoring and tracking
• During closeout
A Tribal Nation demonstrates commitment to carry
out an award by either:
1. Drawing down funds within 21 days after
the EPA award or amendment mailing
date; or
2. Not filing a notice of disagreement with
the award terms and conditions within 21
days after the EPA award mailing date.
Read ALL information very carefully.
Who is responsible for making sure the project
will meet award specifications?
The assistance agreement is part of a government-
to-government relationship and the authorized
certifying official should be an elected
representative of the Tribal Nation. It is the
authorized certifying official's responsibility to
read the award document very carefully to ensure
that all of the requirements as specified in the
assistance agreement award document are
understood and can be met.
These requirements include compliance with
federal regulations as stated in 40 CFR Part 31.
Regulations require the Tribal Nation to write
policies and procedures for administrative and
financial systems to meet these requirements.
The Authorized Certifying Official (the same
person who signed off on the proposal) must be:
• Authorized by the Tribal Nation
• Accountable to the Tribal Nation and EPA
• Responsible for complying with agreed
upon "terms and conditions"
EPA Tribal, U.S. Territories and Insular Areas Administrative and Financial Guidance for Assistance Agreements
Last Updated April 2013
Page 10 of 21
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Module 2: Assistance Agreement Awards
Does the award document need to be signed to
legally bind the Tribal Nation to the agreement?
A. Yes
B. No
C. Only if the award is greater than $50,000
D. Only if the award is greater than $500,000
E. None of the above.
Reflection
Pause a moment to consider how your
organization handles administrative
functions.
• How does your organization keep
up-to-date on federal regulations,
legal decisions, OMB Circulars,
and the like?
• Who is your Nation's authorized
certifying official?
Start the Project
1. Read the award document very carefully.
2. Keep a copy of the official award in your
files.
3. Set up accounts.
4. Meet with project team.
5. Begin record keeping.
How do we get started once the award is
received?
Get the project off to a good start. Take the
following initial steps.
1. Read the award document very
carefully.
1. The project manager should:
a. Read the award document very
carefully.
b. Be able to explain to each member
of the project team their
responsibilities for the:
• Work plan
• Budget
• "Terms and conditions"
• Reporting requirements
EPA Tribal, U.S. Territories and Insular Areas Administrative and Financial Guidance for Assistance Agreements
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Module 2: Assistance Agreement Awards
1. Keep a copy of the official
award in your files.
• Meet with EPA regional Grants Specialist and
Project Officer.
Do not make any changes
to the award document.
3. Set up accounts.
Budget
2. Keep a copy of the official award in your files.
The Tribal Nation's Project Manager should
contact the EPA Grants Specialist partner
within three weeks (21 calendar days) of the
receipt of the award document. Tell the Grants
Specialist that you have accomplished all the
steps toward good grants management
operations.
Misunderstandings and problems can be
avoided if everyone fully understands what
can and cannot be accomplished in the project.
If you do not understand something, ask the
EPA Project Officer or EPA Grants Specialist
to explain.
Do NOT make any changes to the award
document. All changes must be made in
concurrence with EPA. EPA must make all
changes after the agreement is official. To
make sure changes are made quickly and
accurately, discuss all proposed changes with
the EPA Grants Specialist or Project Officer
immediately.
Track receipt of all documentation exchanged
with EPA.
3. Work with accounting staff to establish a
separate set of accounts for the grant award and the
Tribal Nation's match (if a match is required) in
your financial system and enter the award and
match budget into the accounting system.
Policies and procedures must comply with cost
principles outlined in the Office of
Management and Budget (OMB) Circular A-
87, revised from the Code of Federal
Regulations (CFR) Title 2 Grants and
Agreements, Part 225 Cost Principles for
State, Local and Indian Tribal Governments
(hereafter referred to as OMB Circular A-87).
Learner Notes
Practice writing policies and procedures in
Activity 3.a (found online at
www.petetribal.org).
4. Meet with project team.
• Review budget.
• Review administrative procedures.
• Review financial and accounting procedures.
• Determine deadlines for reporting.
• Assign respective duties.
• Design strategies for success.
EPA Tribal, U.S. Territories and Insular Areas Administrative and Financial Guidance for Assistance Agreements
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Module 2: Assistance Agreement Awards
4. Meet with the project team to review the
budget that has been put into the financial system
and to review the Tribal Nation's grants
management policies and procedures.
The Tribal Nation should work with
accounting staff to set up a separate set of
budget accounts for the award. The project
budget is submitted to accounting to enter it
into their accounting system.
Everyone involved in the project (e.g., grant
directors, project staff, and accountants - all
key people who will have responsibility
working on your project) should meet to
discuss the new award. They should go over
specific details of the assistance award, like
deadlines for reporting, drawing down funds,
budget line items, allowable costs, and so on.
5. Begin record keeping.
• Each grant must have its
own file(s).
• Color code paper folders,
may provide additional
designation.
• Keep electronic copies.
• File must be safe from theft,
fire, and water damage.
5. Start a file of records including:
a. A copy of the assistance agreement
and the award letter
b. The grants management calendar
and tracking chart
c. Work plan and budget detail
d. Notes and communications
Keep all documentation in a separate file.
Though grant documentation is legally the
property of the Tribal Nation, it should be kept
in its own file - preferably in the same labeled
and color coded folders as the files kept at the
regional office - so records are easily available
to project auditors for review.
EPA regional directors highly recommend
files match the files held at the regional office.
Files should be:
Color coded
Kept in both paper and electronic format
Safely secured
Files should be kept in a fire-proof
cabinet. Grant recipients are held
accountable even when files are lost
due to natural phenomenon like fire,
flood, and human error.
It is a good idea to backup
electronic files regularly. There are
many internet-based remote backup
options available, but electronic
records can also be stored in an out-
of-oflice location. It is important to
backup electronic files in case something
happens to the originals. Paper files should be
copied and kept in two different locations, just
in case.
What is the first thing we should do after
receiving the assistance agreement award
document?
A. Notify our administration.
B. Contact the EPA regional office.
C. Read the document carefully.
D. Start a new file for the project.
Terms and Conditions
There are three types of "terms and conditions"
that maybe included in an award document:
i. Administrative - applicable to all grant
programs
2. Programmatic — specific to a particular grant
program
3. High Risk - additional requirements for
recipients classified as "high-risk"'' agencies
Terms and Conditions
What types of "terms and conditions" are in an
assistance agreement award document?
There are three types of "terms and conditions"
that may be included in an award document:
• Administrative (applicable to all grant
programs)
• Programmatic (specific to a particular grant
program)
• High Risk (additional requirements for
recipients classified as "high-risk" agencies)
EPA Tribal, U.S. Territories and Insular Areas Administrative and Financial Guidance for Assistance Agreements
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Module 2: Assistance Agreement Awards
What are administrative "terms and conditions"?
Administrative
Applicable administrative provisions for EPA
assistance agreements can be found in Title 40 of
the Code of Federal Regulations (CFR), Chapter 1,
Subchapter B, Part 31. For example, an
administrative term or condition might read:
"In accordance with EPA
guidance and OMB Circular
A-87, as appropriate, the
Tribal Nation agrees that it
will use assistance funds
(Federal or non-Federal
share) for fully authorized
and budgeted project
activities only."
What are the programmatic "terms and
conditions"?
Programmatic
Programmatic "terms and conditions" are listed in
the assistance agreement award document under
"Programmatic Conditions". For example:
The Tribal Nation agrees to
submit biannual progress
reports to the EPA Project
Officer partner within thirty
days after the end of each
reporting period.
"Substantial involvement terms and conditions"
may be included if the project is awarded under a
cooperative agreement.
The EPA Project Officer
partner will participate in
planning sessions for each
phase of the project for the
purpose of providing
technical input.
What are the high risk "terms and conditions"?
High Risk
High Risk is a classification that is given to any
recipient, regardless of affiliation (whether they
are a state, local, or Tribal government, non-profit,
college, or university) when the recipient:
• Has a history of unsatisfactory performance
• Is not financially stable
• Has a management system that does not
meet the management standards set forth in
40 CFR Part 31
• Has not conformed to the "terms and
conditions" of a previous award, or
• Is otherwise considered not responsible
When a grantee is considered to be high risk, EPA
works closely with the grant recipient in order to
help them understand and meet the programmatic
and/or administrative requirements of the grant.
Examples of high risk "terms and conditions":
• Payments are made on a reimbursement
basis and not automatic drawdown
• Restricting grant recipient from proceeding
to the next phase of a project until
performance in previous phases is
acceptable
• Requiring the grant recipient to submit more
detailed financial reports
• The EPA Project Officer reviews the grant
recipient's project progress more closely and
more often when the grant recipient is
classified high risk.
Having the above "terms and conditions" in an
award does not mean the grantee is necessarily
classified as "high risk". Many of these steps are
taken for other reasons as well. Each federal
agency has its own definition for high risk. An
audit high risk classification does not mean EPA
automatically considers the grantee to be a high
risk.
When officially classified as a high risk agency,
however, the grantee's name is added to a list of
past award recipients classified as high risk and is
circulated to other agencies. This could delay or
even prevent anyone with a high risk classification
from receiving funds from other federal agencies,
not just EPA.
An organization that habitually fails to comply
with regulations will be placed on the debarred list.
An organization that is on the debarred list
cannot receive EPA assistance agreement
awards.
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Module 2: Assistance Agreement Awards
Stay off the Debarred List!
• Organizations identified on the debarred list
have failed to comply with regulations to the
degree that federal agencies no longer trust
their ability to manage federal award funds.
• Debarred entities cannot receive grant
funding.
• Debarred entities are listed in the Excluded
Parties List System at https://www.sam.gov
An organization will not receive an EPA
assistance agreement award if it is:
A. Cited for non-compliance
B. Not following regulations
C. Listed as a high risk agency
D. Identified on EPA's debarred list
E. All of the above
Learner Notes
Activity 3.b (found at www.petetribal.com')
asks you to examine the "terms and
conditions" listed in your assistance
agreement award document. Share your
observations with those seated at your
table, as terms and conditions may vary
between programs and regions.
How might a high-risk
classification affect our award?
A. It may delay the application process.
B. Projectprogressmaybe reviewedmore
frequently.
C. We may be required to submit more detailed
reports than other award recipients.
D. It may be more difficult for us to win another
award in the future.
E. AH of the above are correct.
rtay in touch
wtth^our
Grants Socialist
L
Reporting and Monitoring
How often should we communicate with EPA
regional officials?
A very important part of having a good program is
frequent contact with the Project Officer and the
Grants Specialist. Monthly communication
should be sufficient to keep things running
smoothly, but you are encouraged to ask
questions whenever issues arise.
EPA Tribal, U.S. Territories and Insular Areas Administrative and Financial Guidance for Assistance Agreements
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Module 2: Assistance Agreement Awards
It is good to let EPA know about the things you are
able to achieve with the assistance agreement as
well as difficulties you encounter. Address issues
before they become problems. It is better to address
issues as they come up rather than wait until the
end of the project.
Communicate with the EPA Project Officer (PO)
on programmatic technical issues related to the
project. The EPA Project Officer is the project
specialist. Inform your Project Officer if problems
arise that could jeopardize the completion of the
project. The Project Officer will work with the
Tribal Nation to rectify the situation.
Communicate with the EPA Grants Specialist (GS)
on administrative and budget issues. The Grants
Specialist provides technical assistance to the
Tribal Nation on administrative, financial, and
accounting issues.
Contact both if uncertain about who to contact
regarding a particular question or issue. In this
instance, email is the best method of
communication, as the question or issue can be
posed to both at the same time.
How often should we communicate
with regional officials?
A. Daily
B. Weekly
C. Monthly
D. Semi-aniiually
E. Annually
Compliance Reviews
• EPA has the right to review a grant recipient's:
= Administrative and Financial Systems
= Policies and procedures
° Project Files
= Personnel
= Internal Controls
- Monitoring, Tracking, and Reporting Process
What is a compliance review?
Compliance Reviews occur when EPA visits to
review the Tribal Nation's policies and procedures
as well as the Tribal Nation's project files, which
reflect monitoring and tracking. A compliance
review may also be called a limited desk review.
Take advantage of this opportunity to identify
weaknesses in systems and obtain suggestions that
may help you work more efficiently. This is your
chance to get free accounting advice.
Copies of the EPA Administrative and Financial
Onsite Review Questionnaire are provided in the
Appendix and in Module 10.
Discussion
What operational processes does your
organization have for:
• Submitting programmatic progress
reports?
• Establishing a process to track,
monitor, and report on
environmental results?
Closeout
* Submit all final reports.
• Receive an EPA Closeout Letter.
• Keep records safe for as long as indicated in the
"terms and conditions" of the agreement.
What is closeout?
Final reporting takes place when the project is
within ninety (90) days of completion and/or time
for the assistance agreement to expire. The
assistance agreement goes into the final closeout
phase.
Reports
The closeout phase requires the submission of:
• Final project and financial reports
• Disadvantaged Business Enterprise reports
Regional offices may request additional forms.
EPA Tribal, U.S. Territories and Insular Areas Administrative and Financial Guidance for Assistance Agreements
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Module 2: Assistance Agreement Awards
Check your award "terms and conditions" for
requirements specific to your award.
Closeout Letter
Once all of the required documents have been
submitted and accepted by the various EPA
partners, the Tribal Nation will receive a closeout
letter. The Grants Specialist sends the closeout
letter to the address specified on the award
document.
Retention
Records must be made available for review by
EPA should any questions arise after the agreement
is completed. Records retention requirements
depend on the program. Typically records are kept
for a minimum three (3) years after the final
financial Status Report is submitted. Some
programs require records to be kept for up to ten
(10) years.
EPA suggests:
• Program records be kept as long as they are
needed
• Financial records be disposed of when the
retention period ends
As long as the files are available, they can be
audited. Retention dates freeze when the
organization is under an audit. This can prolong
the time records are required to be kept on file.
Contact your Grants Specialist, if you are unsure of
your retention dates.
When grant support is
continued or renewed at
annual or other intervals,
the retention period for the
records of each funding
period starts on the day the
grantee or subgrantee
submits to the awarding
agency its single or last
expenditure report for that
period. However, if grant
support is continued or
renewed quarterly, the
retention period for each
year's records starts on the
day the grantee submits its
expenditure report for the
last quarter of the Federal
fiscal year. In all other cases,
the retention period starts
on the day the grantee
submits its final expenditure
report. If an expenditure
report has been waived, the
retention period starts on
the day the report would
have been due.
Discussion
How does your organization manage:
• Policies and procedures to ensure
compliance with the financial
requirements in 40 CFR Part
31.20(b)?
• An internal auditor, audit staff, or
other financial expert that provides
for an independent review of the:
o Accounting and
financial management
process
o Cash receipts and
payments
o Safeguarding of assets
• Policies and procedures to ensure
compliance with closing out
assistance awards after the
performance and budget periods, as
required in 40 CFR Part 31.50?
40 CFR Part 31 is available online at
http://ecfr.gpoaccess.gov and provided in this
manual's Appendix. Essential forms are
available online at
http://www.epa.gov/ogd/forms/forms.htmand
in the Appendix.
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Module 2: Assistance Agreement Awards
When can we dispose of the files?
A. EPA receives the final report
B. It varies, usually 3-10 years. Check with the
Project Officer
C. The Tribal Nation receives a closeout letter
from EPA
D. All project funds are spent
E. Ninety days after the award expires
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Attachment to Module 2
Answers to Quizdom Actionpoint Questions
ild font indicates correct answer'
A Tribal Nation might NOT receive an EPA assistance agreement award if the proposed
project involves an organization:
A. Never cited for non-compliance
B. Complies with regulations
C. Listed as a high risk agency
D. Never cited with high risk audit findings
E. All of the above are correct.
High risk agencies are organizations that have been cited for not complying with federal
regulations. A Tribal Nation with a history of non-compliance might have that record counted
against them when they are being scored by reviewers in a competitive program. It doesn't
necessarily knock them off the list, but it can hurt their chances.
13
Who is responsible for the success of an assistance agreement award program?
A. EPA
B. The Tribal Nation
C. Regional EPA Officers
D. Project Managers
E. All of the above are correct.
The "terms and conditions" of the agreement make each party responsible forthe conditions that
apply to them.
17
What types of assistance are available to a Tribal Nation after receiving an assistance
agreement award?
A. Administrative and financial guidance manual
B. Training sessions
C. Web-based training modules
D. Regional support personnel
E. All of the above are correct.
The manual, training sessions, and regional support personnel are already in place to assist Tribal
Nations. Web-based training modules will be available soon.
20
Where can we learn how to manage our award?
A. EPA website
B. EPA Regional Office
C. Guidance manual
D. Training
E. All of the above are correct.
EPA is dedicated to assisting Tribal Nations in as many user-friendly ways as possible.
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Module 2: Assistance Agreement Awards
35
Question (bold font indicates correct answer
Who must sign the assistance agreement award document to legally bind the Tribal
Nation to the agreement?
A. Yes
B. No
C. Only if the award is greater than $50,000
D. Only if the award is greater than $500,000
E. None of the above.
What is the//rsf thing we should do after receiving the assistance agreement award
document?
A. Notify our administration.
B. Contact the EPA regional office.
C. Read the document carefully.
D. Start a new file for the project.
OGD has eliminated the requirement for recipients to submit a signed Affirmation of Award for
new awards or amendments. Recipients demonstrate their commitment to carry out an award by
either:
1) Drawing down funds within 21 days after the EPA award or amendment mailing date;
or
2) Not filing a notice of disagreement with the award terms and conditions within 21 days
afterthe EPA award mailing date.
45
All of these are important first steps. However, before anything else, read the document to be
sure you fully understand what it says. Then call a meeting of all involved in its successful
completion.
51
An organization will not receive an EPA assistance agreement award if it is:
A. Cited for non-compliance
B. Not following regulations
C. Listed as a high risk agency
D. Identified on EPA's debarred list
E. All of the above are correct.
A Tribal Nation with a history of non-compliance might have that record counted against them
when they are being scored by reviewers in a competitive program. An organization that
habitually fails to comply with regulations will be placed on the debarred list. An organization that
is on the debarred list cannot receive EPA assistance agreement awards.
54
How might a high-risk classification affect our award?
A. It may delay the application process.
B. Project progress may be reviewed more frequently.
C. We may be required to submit more detailed reports than other
award recipients.
D. It may be more difficult for us to win another award in the future.
E. All of the above are correct.
High-risk classification can make it more difficult to receive and report on a grant now and in the
future. It also requires more frequent interaction with EPA during the award period.
Last Updated April 2013
EPA Tribal, U.S. Territories and Insular Areas Administrative and Financial Guidance for Assistance Agreements
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Module 2: Assistance Agreement Awards
58
How often should we communicate with regional officials?
A. Daily
B. Weekly
C. Monthly
D. Semi-annually
E. Annually
Monthly communication should be sufficient to keep things running smoothly, but you are
encouraged to ask questions whenever issues arise.
63
When can we dispose of the files?
A. EPA receives the final report
B. It varies, usually 3-10 years. Check with the Project Officer
C. The Tribal Nation receives a closeout letter from EPA
D. All project funds are spent
E. Ninety days after the award expires
Records must be saved for three to ten years following closeout. The award period can be
extended for various reasons. Ask your EPA grants specialist for the exact dates of your records
retention period.
Last Updated April 2013
EPA Tribal, U.S. Territories and Insular Areas Administrative and Financial Guidance for Assistance Agreements
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