January 31, 2022
IMPORTANT ANNOUNCEMENT ABOUT THE USE OF SMALL DOLLAR GRANT TERMS AND CONDITIONS AND PURCHASE ORDERS FOR SLFRF SUBRECIPIENTS
The Office of the State Controller (OSC) State and Local Fiscal Recovery Funds (SLFRF) grant agreement template includes all the required terms and conditions for federal grants, SLFRF specific provisions, and SLFRF reporting requirements. The grant agreement is bilateral and requires two signatures by the subrecipient - one on the grant agreement and a second on the certification with Treasury terms and conditions for SLFRF subrecipients. The signature of the subrecipient is required to form a binding agreement, in which the subrecipient agrees to comply and be bound by the agreement, and the State and Treasury have the right to enforce the agreement.
The Small Dollar Grant Award Terms and Conditions (POGG1) and the Purchase Order Terms and Conditions (PO) do not include SLFRF terms. PO terms and conditions are more suited to situations when a State agency is purchasing goods and services and not granting funds. The Small Dollar Grant Award Terms and Conditions cannot be used for small dollar grants that use SLFRF funding. The Small Dollar Grant Award and POs are unilateral; the vendor or contractor accepts the PO/Small Dollar Grant Award by performance.
To protect the State’s interest and to comply with general federal requirements and specific SLFRF terms and conditions, State agencies shall use the SLFRF grant agreement when awarding (SLFRF) to subrecipients. The use of Small Dollar Grant Awards or Purchase Orders are not permitted as they do not contain the proper signature, compliance, and reporting requirements needed for subrecipients, and would expose the State to unnecessary risk and audit comments.
In order to ensure that departments are using the most current version of the grant agreement templates, state agencies must check the OSC website prior to generating grant agreements as guidelines and requirements may change.
Unsure of which template to use? The OSC has created a scenario-based tool to assist in determining the most appropriate template to use.
All SLFRF Grant Agreement templates, supporting documents and exhibits can be found under the SLFRF Grant Agreement Templates section at: https://osc.colorado.gov/american-rescue-plan-act
Questions? Contact the OSC Compliance Liaison assigned to your agency.
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