On December 26, 2013, the U.S. Office of Management and Budget issued the final “Supercircular,” a consolidation of the various regulations governing Federal grant-receiving organizations’ audit and administrative processes.With the advent of the Supercircular, grant recipients and administrators must carefully re-evaluate their grant practices in light of the new omnibus system to determine what has remained the same, and what has not. The Supercircular contains multiple changes and consolidations, including:
- makes explicit in a single resource what requirements apply to all recipients, and which are uniquely needed to address specific needs, eliminating the requirement for grants professionals to cross-reference between multiple resources;
- includes new measures designed to ensure merit-based grant awards and identify problems early in the process;
- introduces new requirements for formal certification of grant submission;
- attempts to streamline and standardize the cost principles in many ways, including new options for the recovery of indirect costs.
Generally, the A-133 requirements remain unchanged. The most favorable change is an increase to $750,000 from $500,000 in the dollar threshold for the A-133 audit.
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