OMB Circular No. A-110

Grants and Agreements with Institutions of Higher Education, Hospitals, and Other Non-Profit Organizations


November 19, 1993

Circular No. A-110
Revised

TO THE HEADS OF EXECUTIVE DEPARTMENTS AND ESTABLISHMENTS

SUBJECT: Uniform Administrative Requirements for Grants and Agreements With Institutions of Higher Education, Hospitals, and Other Non-Profit Organizations

1. Purpose. This Circular sets forth standards for obtaining consistency and uniformity among Federal agencies in the administration of grants to and agreements with institutions of higher education, hospitals, and other non-profit organizations.

2. Authority. Circular A-110 is issued under the authority of 31 U.S.C. 503 (the Chief Financial Officers Act), 31 U.S.C. 1111, 41 U.S.C. 405 (the Office of Federal Procurement Policy Act), Reorganization Plan No. 2 of 1970, and E.O. 11541 ("Prescribing the Duties of the Office of Management and Budget and the Domestic Policy Council in the Executive Office of the President").

3. Policy. Except as provided herein, the standards set forth in this Circular are applicable to all Federal agencies. If any statute specifically prescribes policies or specific requirements that differ from the standards provided herein, the provisions of the statute shall govern.

The provisions of the sections of this Circular shall be applied by Federal agencies to recipients. Recipients shall apply the provisions of this Circular to subrecipients performing substantive work under grants and agreements that are passed through or awarded by the primary recipient, if such subrecipients are organizations described in paragraph 1.

This Circular does not apply to grants, contracts, or other agreements between the Federal Government and units of State or local governments covered by OMB Circular A-102, "Grants and Cooperative Agreements with State and Local Governments," and the Federal agencies' grants management common rule which standardized and codified the administrative requirements Federal agencies impose on State and local grantees. In addition, subawards and contracts to State or local governments are not covered by this Circular. However, this Circular applies to subawards made by State and local governments to organizations covered by this Circular. Federal agencies may apply the provisions of this Circular to commercial organizations, foreign governments, organizations under the jurisdiction of foreign governments, and international organizations.

4. Definitions. Definitions of key terms used in this Circular are contained in Section ____.2 in the Attachment.

5. Required Action. The specific requirements and responsibilities of Federal agencies and institutions of higher education, hospitals, and other non-profit organizations are set forth in this Circular. Federal agencies responsible for awarding and administering grants to and other agreements with organizations described in paragraph 1 shall adopt the language in the Circular unless different provisions are required by Federal statute or are approved by OMB.

6. OMB Responsibilities. OMB will review agency regulations and implementation of this Circular, and will provide interpretations of policy requirements and assistance to insure effective and efficient implementation. Any exceptions will be subject to approval by OMB, as indicated in Section ____.4 in the Attachment. Exceptions will only be made in particular cases where adequate justification is presented.

7. Information Contact. Further information concerning this Circular may be obtained by contacting the Office of Federal Financial Management, Office of Management and Budget, Washington, DC 20503, Telephone (202) 395-3993.

8. Termination Review Date. This Circular will have a policy review three years from date of issuance.

9. Effective Date. The standards set forth in this Circular which affect Federal agencies will be effective 30 days after publication of the final revision in the Federal Register. Those standards which Federal agencies impose on grantees will be adopted by agencies in codified regulations within six months after publication in the Federal Register. Earlier implementation is encouraged.

Leon E. Panetta
Director

Attachment



SUBPART A - GENERAL

Sec.
____ .1 Purpose.
____ .2 Definitions.
____ .3 Effect on other issuances.
____ .4 Deviations.
____ .5 Subawards.


SUBPART B - PRE-AWARD REQUIREMENTS

Sec.
____ .10 Purpose.
____ .11 Pre-award policies
____ .12 Forms for applying for Federal assistance.
____ .13 Debarment and suspension.
____ .14 Special award conditions.
____ .15 Metric system of measurement.
____ .16 Resource Conservation and Recovery Act.
____ .17 Certifications and representations.


SUBPART C - POST-AWARD REQUIREMENTS

Financial and Program Management

Sec.
____ .20 Purpose of financial and program management.
____ .21 Standards for financial management systems.
____ .22 Payment.
____ .23 Cost sharing or matching.
____ .24 Program income.
____ .25 Revision of budget and program plans.
____ .26 Non-Federal audits.
____ .27 Allowable costs.
____ .28 Period of availability of funds.

Property Standards

Sec.
____ .30 Purpose of property standards.
____ .31 Insurance coverage.
____ .32 Real property.
____ .33 Federally-owned and exempt property.
____ .34 Equipment.
____ .35 Supplies and other expendable property.
____ .36 Intangible property.
____ .37 Property trust relationship.

Procurement Standards

Sec.
____ .40 Purpose of procurement standards.
____ .41 Recipient responsibilities.
____ .42 Codes of conduct.
____ .43 Competition.
____ .44 Procurement procedures.
____ .45 Cost and price analysis.
____ .46 Procurement records.
____ .47 Contract administration.
____ .48 Contract provisions.

Reports and Records

Sec.
____ .50 Purpose of reports and records.
____ .51 Monitoring and reporting program performance.
____ .52 Financial reporting.
____ .53 Retention and access requirements for records.

Termination and Enforcement

Sec.
____ .60 Purpose of termination and enforcement.
____ .61 Termination.
____ .62 Enforcement.


SUBPART D - AFTER-THE-AWARD REQUIREMENTS

Sec.
____ .70 Purpose.
____ .71 Closeout procedures.
____ .72 Subsequent adjustments and continuing responsibilities.
____ .73 Collection of amounts due.


APPENDIX A - CONTRACT PROVISIONS


Letter from John B. Arthur,
Assistant Director for Administration