Section 950.210  Administrative Standards for Grant Recipients

a)         The grant shall have a period of completion as determined by the Department.

b)         Payments pursuant to a grant are subject to the availability of funds appropriated to the Department by the Illinois General Assembly.  Grant funds must be expended or obligated within the period of the grant agreement and liquidated within the period of time in accordance with the Illinois Grant Funds Recovery Act [30 ILCS 705].

c)         Payments to the recipient pursuant to a grant are subject to the initiation of an invoice voucher and receipt of an expenditure summary or documentation of expenses.

d)         The recipient is accountable for funds received under the grant and shall maintain effective control and accountability over all funds and other assets under the grant.  The recipient shall maintain records that detail and accurately document the recipient's expenditures of grant funds for a period of 2 years following the end of the grant agreement.

e)         In accordance with Section 10 of the Illinois Grant Funds Recovery Act, all interest earned under the grant shall become part of the grant when earned.  Any interest earned during the term of the grant, and not expended as grant principal during the term of the grant, shall be returned to the Department.

f)          If the grant recipient expends funds contrary to the provisions of the grant agreement, such action shall require the repayment of those funds.

g)         Recipients and their subcontractors, if any, must permit any agent authorized by the Department, upon presentation of credentials, to have full access to and the right to examine any documents, papers and records of the recipient involving transactions related to a grant from the Department.

h)         Grant recipients must submit, as specified in the grant agreement, reports on the financial status of the project and provide narrative reports on the activities and achievement results based on the objectives of the project.

i)          The recipient shall be responsible for securing any compliance audit of grant records required by this subsection.   The audit must be performed by an independent certified public accountant, licensed by authority of the State of Illinois pursuant to the Illinois Public Accounting Act [225 ILCS 450].  The audit must be conducted in accordance with generally accepted government auditing standards adopted by the AICPA (1989, no later amendments or editions included). A grantee shall be responsible for securing a compliance audit for any grant award exceeding $300,000.  Additionally, a compliance audit may be required when certain risk conditions exist, including, but not limited to, a negative compliance history and disclosure of previous material audit findings.  The audit shall be performed by an independent certified public accountant, licensed by authority of the State of Illinois pursuant to the Illinois Public Accounting Act.  The audit shall be conducted in accordance with generally accepted auditing standards contained in the publication entitled AICPA Professional Standards, American Institute of Certified Public Accountants, Harborside Financial Center, 201 Plaza 3, Jersey City, New Jersey 07311 (June 2000, no later editions are incorporated).

j)          The Department reserves the right to conduct special audits, including but not limited to an agency-wide audit, at any time during normal working hours, regarding funds expended under Department grants.

k)         In accordance with Section 4 of the Illinois Grant Funds Recovery Act [30 ILCS 705/4], all funds, including any interest, remaining at the end of the grant period or at the expiration of the period of time grant funds are available for expenditure or obligation by the grantee, shall be returned to the Department within 45 days after the end of the relevant period.  The grantee agrees to repay the Department for any funds that are determined by the Department to have been spent in violation of the grant agreement.

l)          Grantee shall permit any agent authorized by the Department, upon presentation of credentials, in accordance with the constitutional limitation on administrative searches, to have full access to and the right to examine any documents, papers, and records of the grantee involving transactions related to a grant from the Department.  Once the Department has concluded its monitoring activities, the grantee will be notified of the Department's findings.  If the Department has made a determination of noncompliance, the grantee will be allowed an opportunity to cure any and all noncompliance issues.  If any noncompliance issues cannot be resolved, the Department will issue a notice requesting that the grantee repay any funds that are determined by the Department to have been spent in violation of the agreement.  If the grantee fails to comply with the Department's notice, the Department shall issue a final notice providing the grantee the opportunity to request an administrative hearing pursuant to the Department's Administrative Hearing Rules found at 8 Ill. Adm. Code 1.