News

ABC’s of FY17 Grant Contract Attachments

By Carol White, Associate Director of Operations —

Many grantees are having trouble knowing what to do with FY17 grant contract attachments B and C. If you do it wrong, you could be inviting an unnecessary tangle with the Tennessee Comptroller’s State Audit office. So, here’s the scoop:

Q: What do I do with these forms?

A: You should have returned the Attachment B and C forms with your signed FY17 contract. The blank forms are part of the contract. If you didn’t return the forms, don’t worry, we’ll re-attach them and return them with your executed contract. FYI, local government grant contracts only have Attachment B.

Q: Then what, do I have to fill them out and send them somewhere?

A: Yes. No later than 90 days before the end of your agency’s fiscal year, each grantee is required to email one scanned copy per agency of Attachment B to cpo.auditnotice@tn.gov.

Q: How can I mess this up?

A: By filling out too much information. Here’s what’s required: Unless your agency receives $750,000 or more in state and/or federal grant funds—and most nonprofit arts grantees do not—check the box for “Not Subject to an audit for fiscal year 2017”. If your agency falls under the $750,000 threshold, don’t fill out anything else—not the name of your auditor or how much money you got or Attachment C “Parent-Child Information.”

Q: Why would I check “no audit” if I know my agency is planning to have an audit?

A: This is the tricky part. Your agency may be planning to have an audit, and that’s a good thing—especially if required for Major Cultural Institutions or Partnership grantees. But unless your agency gets more than $750,000 in federal or state grant funds, your agency does not need to have a very special kind of audit governed by federal rules in partnership with the Tennessee Comptroller’s office.   That’s what this form is talking about.

Q: What if my organization does get more than $750,000 in grants?

A: Talk with your chief fiscal office and find out how they plan to report.   No matter how many grants an organization gets, they only need to submit one form, so your fiscal office will probably coordinate.

Q: What’s the whole “Parent-Child” thing?

A: This is not about moms and dads and kids. This is bureaucratic-speak for organizations that are under the umbrella of other organizations. Again, unless your organization gets more than $750,000 in federal and/or state grants in FY17, you don’t need to think about this. Local government agencies need to consult their fiscal office to coordinate who send the single form for FY17.

Q: How can I learn more about this?

A: First, read contract section D.19. It’s about the federal and state requirements for audits of state and federal grant funds. You’ll see the language about the $750,000 minimum threshold. If you have other questions, please contact carol.white@tn.gov