Substance Abuse & Mental Health Services Administration

The HHS GPS is general terms and conditions for Discretionary grants and Cooperative agreements.

This directive covers policy topics including, but not limited to, general administrative and public policy terms, cost considerations and standards of conduct.

A PDF version of the HHS Grants Policy Statement is available via: HHS Grants Policy Statement .

Guidelines for determining allowable and unallowable expenditures are outlined in the Federal cost principles.

The allowable, reasonable and allocable necessity of costs that may be charged to SAMHSA grants are outlined in the following cost principles:

In addition to the cost principles, OMB has established Uniform Administrative Standards and audit requirements for organizations receiving Federal assistance. These Uniform Administrative Standards are contained in the following documents:

• Copies of the Office of Management and Budget (OMB) Circulars are available on the internet at:  www.whitehouse.gov/omb/circulars_default

All grantees must have financial management systems that conform to the Federal Administrative Regulations (45 CFR, Part 74 and 45 CFR, Part 92).

The financial and management controls that should be incorporated in the grantee’s organization’s policies & procedures can be accessed at Grantee Financial Management Requirements (PDF 53KB).

Central Contractor Registration (CCR) www.bpn.gov/CCR is the primary registrant database for the U.S. Federal Government. CCR collects, validates, stores, and disseminates data in support of agency acquisition missions, including Federal agency contract and assistance awards.

Grantees must update or renew their registration in the CCR at least once per year to maintain an active status.

The Federal Funding Accountability and Transparency Act (FFATA) require reporting of subaward and executive compensation.

Grantees are required to regularly report on all subawards over $25,000 to the Federal Subaward Reporting System (FSRS) - www.FSRS.gov.

Additionally, certain grantees are required to report the total compensation of their most highly compensated executives as part of the registration profile in the Central Contractor Registration (CCR).

See www.samhsa.gov/grants/subaward.aspx for the full SAMHSA award term implementing these requirements and additional award applicability information.

Trafficking Victims Protection Act of 2000

The Trafficking Victims Protection Act of 2000 is a comprehensive Federal law enacted to protect victims of trafficking or to prosecute their traffickers.

All SAMHSA grantees are required to abide by the provisions of this law.

For addition information, go to www.samhsa.gov/grants/trafficking.aspx

ACORN

In accordance with guidance provided by the Department of Health and Human Services, funding prohibitions regarding ACORN and related entities remain in effect pending further litigation as to ACORN’s First Amendment and due process claims.

For additional information go to: www.whitehouse.gov/omb/assets/memoranda_2010/m10-12.pdf

INCENTIVES

"Incentives" refer to any monetary or service benefit provided to program participants to attract and retain them in the service or prevention program. The dictionary defines "incentive" as "something that encourages or motivates somebody to do something."

SAMHSA discretionary grant funds may be used for non-cash incentives that are considered essential to retain individuals to participate in prevention and treatment programs and to encourage attendance and attainment of treatment or prevention goals. All the non-cash incentives must be built into the program design and should be of minimal cash value, e.g. , food, prizes, small gifts.

Discretionary grant funds may not be used to make direct cash payments to individuals during the treatment or prevention program.

SAMHSA policy supports the appropriate, judicious, and conservative use of incentives in discretionary grant programs. Incentives should be the minimum amount necessary to meet the programmatic and evaluation goals of the grant up to $20. Grant applicants/grantees should determine the minimum amount that is provided to be effective as follows:

Before the Program: SAMHSA discretionary grant funds may not be used to make direct payments to individuals to induce them to enter treatment or prevention programs.

During the Program: SAMHSA discretionary grant funds may be used for "wrap-around services" (non-clinical supportive services) intended to improve the individual’s access to and retention in treatment, deemed essential to meet the program’s goals relative to the target population, improve access to and retention in prevention programs or for meeting abstinence benchmarks.

After the program: CMHS and CSAT practice has allowed for SAMHSA discretionary grant funds to pay individuals to participate in required data collection follow-up. CSAP has not established practice related to payment for follow-up data collection.

Appeals Process for Drug Free Communities Program Grantees

The Drug Free Communities Programs Progressive Grant program Discipline and Appeals processes have been developed by the Executive Office of the President, Office of national Drug Control Policy (ONDCP) and Substance Abuse and Mental Health Services Administration (SAMHSA). There are three progressive discipline actions that can be taken:

1. High risk status
2. Suspension
3. Termination

An overview of this plan and the complete explanation and procedures are posted on the Drug Free Communities Program website at www.whitehouse.gov/ondcp/information-for-current-grantees.

• Grant number;
• Grantee organization name;
• Grantee contact information;
  • Address, telephone number, fax number and e-mail address
• Signature of an authorized official of the grantee organization, as well as the project director; and
• Supporting documentation.

The grantee will be responsible for any internal distribution of the request.

Approval may be granted by the GMO in the form of a revised NoA. No other written or oral approval will be accepted and will not be binding on SAMHSA and HHS.

Any nomination, replacement of, or substantial reduction in effort of the Program Director (PD) or other key staff of the grantee requires the written prior approval.

Positions designated as key staff are defined in the NoA.

Grantees, unless designated high risk, have a certain degree of latitude to move funds within and between budget categories to meet unanticipated requirements or to accomplish certain programmatic changes.

If the reallocation of funds modifies the budget significantly*, a budget revision or change in scope request (refer to change in scope section) may need to be submitted for prior approval.

*Significant re-budgeting is defined as cost modifications that exceed 25% or $250,000, whichever is less - of the approved budget.

• Request Letter: Indicate in the letter the bona-fide need of the revision; provide a detailed description of the changes within the budget and what budget categories will be affected and why.

• SF 424A: Budget Information Form: Standard Form 424A (Rev. 7-97);

  Budget Narrative Justification: Provide a breakdown of all costs. Please note that the budget must not exceed the original authorized amount. All budgets should be in dollar amounts only. Do not include cents. SAMPLE BUDGET

• If requesting a change in indirect cost, provide Current Indirect Cost Rate Agreement documentation.

Notify SAMHSA as soon as such information is known.

Grantees may make changes in the methodology, approach, or other aspects of the project/program objectives.

A change in scope occurs when the grantee proposes to change (or changes) the objectives, aims, or purposes identified in the approved application.

The grantee must make the initial determination of whether a proposed change would be considered a change in scope and should consult with the GMS and PO as necessary.

Indicators of a change in scope or that are likely to be considered a change in scope include, but are not limited to, the following:

• Transfer of the performance of substantive programmatic work to a third party through a subaward, contract
• Significant re-budgeting, whether or not the particular expenditures require prior approval; and/or
• Purchase of a unit of general-purpose or special-purpose equipment exceeding $5,000.

NOTE: Grantee must provide an assurance that they understand that no additional federal funds will be requested or provided now or in the future. In other words, change in scope must be supported within the level of grant funds currently awarded and approval in no way obligates SAMHSA to any further support.

Grantees, unless designated high risk, may carryover previous Unobligated Balance(s) (UOB) of funds up to 25% of the total federal share to the current budget period (the year in which the funds will be needed) without prior approval from the Grants Management Officer.

The Drug Free Communities (DFC) grant program, unless designated as a high risk grantee, may carryover previous Unobligated Balance(s) (UOB) of funds up to 10% of the total federal share from the current budget period (the year in which the funds will be needed) without prior approval from the Grants Management Officer.

For carryover balances above the 25% (10% for DFC) threshold, grantees must submit a formal carryover request that requires prior approval from the Grants Management Officer.

Carryover Request should be used as follows:

1. An unmet need(s)
2. One time cost(s)
3. If recurring, e.g. , service, activities, supplies, personnel, etc. Explain and justify. Include a commitment for the costs identified in the continuation application and or reflect other sources of funding because of the future year implication (there is no guarantee that an unobligated balance of funds will be available in the future for carryover).

A no-cost time extension may be requested if the grantee requires additional time beyond the established expiration date (project end date) to fully complete its program plans and objectives proposed in the original application.

Grantees may request a one-time extension of up to 12 months, to ensure adequate completion of the originally approved project or program or to permit an orderly phase-out of a project or program that will not receive continued support.

SAMHSA will not approve any extension request if the primary purpose of the proposed extension is to permit the use of unobligated balances of funds.

Grantees must submit a written request for an extension to SAMHSA no later than 60 days prior to the expiration date of the project period.

• Request Letter: The letter must explain why you did not accomplish your program goals, the duration of the requested extension, the amount of the unobligated balance (if applicable) to be used, and what you intend to accomplish in the requested amount of time.
• Estimated Federal Financial Report (FFR) (SF 425), which documents total unobligated funds.
• Budget Narrative Justification: Provide a breakdown of all costs. Please note that the budget must not exceed the original authorized amount. All budgets should be in dollar amounts only. Do not include cents. SAMPLE BUDGET
• SF 424A: Budget Information Form: Standard Form 424A (Rev. 7-97).
• DFC Support Program Grants: Coalition meeting minutes discussing extension of time and use of funds.

The term "High Risk" connotes financial risk resulting from poor business management practices or programmatic.

All changes that differ from the originally approved budget require the Grants Management Officer's prior approval.

Organizations with high-risk grants have their Payment Management System (PMS) grant accounts restricted, must submit written reimbursement or advance requests to SAMHSA, and obtain prior approval from SAMHSA, for all expenditures before PMS drawdowns can be made.

Additional High Risk questions MUST be answered by the grantee:

• High-Risk Guidelines (PDF 87KB)
• Official SF270 Template (PDF 106KB)

The purchase of equipment exceeding $25,000 (per unit), when not included in the originally approved budget, requires prior approval from SAMHSA.

Additional Equipment questions MUST be answered by the grantee:

• Equipment Costs (PDF 87KB)

Prior approval is required to charge rental costs to a project.

Grantees must provide in writing a detail summary that describes how the amount being claimed for rent was calculated. The description must include the individual cost items, making up the total cost of the building and the methodology used to allocate the costs to the programs or activities operated in the building and provide supporting documentation.

Additional Rent questions MUST be answered by the grantee:

• Rent Questions (PDF 195KB)

EFFECTIVE FEBRUARY 1, 2011 the Federal Financial Report (FFR), (Standard Form 425) is required on an annual basis and must be submitted to SAMHSA for each budget period as stated.

The FFR is required for each 12-month period, regardless of the overall length of the approved extension period authorized by SAMHSA.

A comprehensive listing of FFR due dates are available or you can search for the specific due date below:

If an extension is authorized by SAMHSA, a final FFR is due within 90 calendar days after the end of the extension.
Please send the annual FFR report to the following address:
Mail:
SAMHSA, Division of Grants Management
1 Choke Cherry Road
Rm. 7-1091
Rockville, MD 20850 [zip code for overnight or direct delivery]
                    20857 [zip code for regular delivery]

All SAMHSA awards require either quarterly, semi-annually, or an annual progress report. The frequency and submission process are indicated in the NoA.

OMB Circular A-133 now requires that all auditees submit a completed data collection form (SF-SAC) in addition to the audit report, within the earlier of 30 days after receipt of the report or 9 months after the fiscal year-end.

For questions and information concerning the submission process, please visit harvester.census.gov/sac or you may call the Federal Audit Clearinghouse (800-253-0696).

Audit requirements for Federal award recipients are defined in OMB Circular A-133, Audits of States, Local Governments, and Non-Profit Organizations may be accessed from the following website at: www.whitehouse.gov/sites/default/files/omb/assets/a133/a133_revised_2007.pdf

An organization is required to have a non-Federal audit if, during its fiscal year, if expended a total of $500,000 or more in Federal funds. Federal awards are defined in OMB Circular A-133 to include Federal grants, contracts and cooperative agreements both directly from a Federal awarding agency as well as indirectly from a pass-through entity.

SF-SACs and Audit reports MUST be submitted online via harvester.census.gov/fac/collect/ddeindex.html   

Quarterly financial reports are required by the HHS Division of Payment Management (DPM). This quarterly reporting requirement provides an overview of the cash status of the account. The Federal Financial Report (FFR or Standard Form 425) is the mechanism for reporting disbursements.

Failure to submit reports on by the specified due date can result in fund access restrictions.

Go to the DPM Web site to get information on the Standard Form 425 report, the name and telephone number of your DPM account representative, and other information.

Grant closeout documents consist of the following reports:

1. Federal Financial Report (FFR), Standard Form 425 (SF-425);
2. Tangible Personal Property Reports; and the
3. Final Progress Report (FPR).

Refer to the sections below for additional details, and required forms:

Grant closeout documents must be submitted within 90 days of the end of the current 12-month budget period. Except, if a no-cost extension has been requested and approved, grant closeout documents must be submitted within 90 days of the end of the current 12-month budget period and again at the end of the no-cost extension.

The required documents should be mailed to:

SAMHSA, Division of Grants Management
Attn: Closeout
1 Choke Cherry Road, Room 7-1091
Rockville, Maryland 20857*
*Use zip code 20850 for overnight delivery

Disbursements reported on the final FFR must agree with the top portion of the FFR line 10 (a-c) as filed with the Division of Payment Management.

NOTE: SINGLE GRANT REPORTING IS REQUIRED FOR EACH SAMHSA PROJECT AS STATED ON THE FFR FOR LINE 10 (d-o). If applicable, include the required match on the FFR under Recipient Share line 10 (i-k). Adjustments to the award amount, if necessary, will be made if the grantee fails to meet the required match.

The FFR must be prepared on a cumulative basis and all program income must be reported on line 10 (l-o). THERE MAY BE NO UNLIQUIDATED OBLIGATIONS REPORTED ON THE FINAL FFR. The FFR including instructions may be accessed from the following website: www.whitehouse.gov/omb/grants_forms.

The data can be entered directly on the form and the system will calculate the figures. After the FFR is completed you will need to print and sign the FFR.

If your organization has tangible personal property (equipment and supplies in excess of $5,000) you must complete the following four (4) reports. The following closeout forms can be downloaded from the OMB website at www.whitehouse.gov/omb/grants_forms :

• Tangible Personal Property Report, Standard Form - 428;
• Final Report, Standard Form-428-B;
• Disposition Request Report, Standard Form - 428-C; and the
• Supplemental Sheet Standard Form - 428-S.

SAMHSA will provide written approval or disapproval of your request for disposition of property/supplies in excess of $5,000 in total value.

This report should be prepared in accordance with the terms and conditions of the NoA (NoA) and/or directions provided by the SAMHSA Program Official listed at the bottom of your latest NoA under Contacts.

The final progress report should cover the entire project period and include, at a minimum, an overview of the goals and objectives that you accomplished during the funding period as stated in your grant application.

If further assistance is required to complete your FPR, contact your Program Official.

Grantees must retain financial and programmatic records, supporting documents, statistical records, and all other records that are required by the terms of a grant, or may reasonably be considered pertinent to a grant, for a period of 3 years from the date the annual FFR is submitted.

Closeout may also affect the time period for retention of records by the grantee, because the three-year record retention period begins with the submission of the final FFR. See 45 CFR Part 74.53 and 45 CFR Part 92.42, Retention and access requirements for records.