Innovative Thinking andInnovative Thinking andThe Road Less TraveledThe Road Less Traveled

Stimulus Funding OpportunitiesAid to State and Local Governments

• $53.6 Billion – 18% Public Safety and Government Services• $2 Billion – Office of Justice Program for Local Law Enforcement• $1 Billion - COPS Community Oriented Policing• $150 Million – Economic Development Assistance• $100 Million – Crime Victims Assistance• $ 80 Million - Southern Border and High Intensity Drug Traffic Deterence Efficiency

Stimulus Funding OpportunitiesAid to State and Local Governments

• $50 Million – Internet Crimes Against Children• $125 Million – Rural Drug Crimes• $210 Million – Local & State Fire Station Upgrades• $225 Million – Law Enforcement Assistance• $225 Million – Violence Against Women Prevention and Prosecution• $1 Billion – CDBG Programs• $150 Million – Food Banks

Grant Funding Grant Funding In-Kind MatchIn-Kind Match

Examples of Potentially Allowable Costs:

• Salary• Benefits• Travel• Supplies• Contract Consultants• Training• Evaluation• Member Costs• Administration Costs

Requirments & RegsRequirments & Regs► Cost Principle Requirements:Cost Principle Requirements:► ••OMB Circular A-21: Cost Principles for Educational InstitutionsOMB Circular A-21: Cost Principles for Educational Institutions► ••OMB Circular A-87: Cost Principles for State, Local, and Indian Tribal GovernmentsOMB Circular A-87: Cost Principles for State, Local, and Indian Tribal Governments► ••OMB Circular A-122: Cost Principles for Non-Profit OrganizationsOMB Circular A-122: Cost Principles for Non-Profit Organizations

► Administrative Requirements:Administrative Requirements:► ••OMB Circular A-102: Grants and Cooperative Agreements with State and Local OMB Circular A-102: Grants and Cooperative Agreements with State and Local

Governments (CNCS: §45 CFR 2541)Governments (CNCS: §45 CFR 2541)► ••OMB Circular A-110: Uniform Administrative Requirements for Grants and Agreements OMB Circular A-110: Uniform Administrative Requirements for Grants and Agreements

with Institutions of Higher Education, Hospitals, and Other Non-Profit Organizations with Institutions of Higher Education, Hospitals, and Other Non-Profit Organizations (CNCS: §45 CFR 2543)(CNCS: §45 CFR 2543)

► Audit Requirements:Audit Requirements:► ••OMB Circular A-133: Audits of States, Local Governments, and Non-Profit OrganizationsOMB Circular A-133: Audits of States, Local Governments, and Non-Profit Organizations

► OMB Circulars: www.whitehouse.gov/omb/grants/grants_circulars.htmlOMB Circulars: www.whitehouse.gov/omb/grants/grants_circulars.html► CNCS Regulations:www.nationalservice.gov/about/role_impact/history.aspCNCS Regulations:www.nationalservice.gov/about/role_impact/history.asp

In Kind Match RequirementsIn Kind Match Requirements

►AllowableAllowable

►ReasonableReasonable

►AllocableAllocable

►Consistently AppliedConsistently Applied

TO BE ALLOWABLE UNDER A GRANT, COSTS MUST:

Be reasonable and allocable for the performance of the award

Conform to grant award limitations or cost principles

Be consistent with policies and procedures that apply to both federally-financed and other activities of the organization

Be given consistent treatment

Be in accordance with Generally Accepted Accounting Principles (GAAP)

Not be included as a cost or used to meet cost sharing or matching requirements of any other federally-financed program

Be adequately documented

Indirect Cost PlansIndirect Cost Plans

Value of Cost Allocation Plan in Grant Costing:

• A Certified Cost Allocation Plan is valuable and required in recovering Indirect Costs

• Costs of Internal Government Services can be recovered

• Indirect costs are required to be charged across all government services for the Federal and State governments to

allow for recapture under Grant Funding

Risk & Risk ToleranceRisk & Risk Tolerance

Grant Acceptance & Risk Tolerance

•Risk Prone• Innovation and likelihood of obtaining funding • Innovation and the difficulty of administration• Outcome: success or failure and funding

repayment

•Risk Adverse• Smaller Awards• Greater Competition• Outcome success or failure and funding

repayment

Grant Acceptance & Risk Tolerance

Communication, both written and oral is critical to make certain:

• Management and Board understand and agree to organizational goals regarding the project being contemplated

• Management & Board understand the financial and time commitment associated with undertaking the project if the grant is awarded

• Finance Department and Grant Staff are prepared to lead the project and manage the work load

Grant Acceptance & Risk ToleranceFinance Department Must Make Certain

that :

• Clear and audit ready records are prepared and maintained at each phase

• Internal Control System is strong and the risk of internal and external fraud have been contemplated, addressed in terms of policy and process

• Project progress and project contractors are monitored and adequate records are maintained on an ongoing basis

• Project is closed properly and records are maintained as outlined in the grant funding requirements and as required by the State record maintenance regulations.

► ChicagoChicago

205 West Wacker Drive205 West Wacker Drive

Suite 1750Suite 1750

Chicago, IL 60606Chicago, IL 60606► Bloomfield HillsBloomfield Hills

4111 Andover Road4111 Andover Road

West, Third FloorWest, Third Floor

Bloomfield Hills, MI 48302Bloomfield Hills, MI 48302

Contact InformationContact Information

Linda AngusLinda Angus(866)–717 –1607