Federal Emergency Shelter Grant 2009 Grant Management Training

1. Federal Emergency Shelter Grant 2009 Grant Management Training

2. Dept Housing & Community Development FESG Program Contacts  Dan Apodaca, FESG Program Manager ⁃ Amanda Lockwood, FESG Fiscal Officer⁃ Angie Ogaz, HCD Rep II ⁃ Helene Hiromoto, HCD Rep II ⁃Justin Jeremiah, HCD Rep II Your Team

3. Major Items to be Covered  Standard Agreement (Std 213)  Financial Management  Reporting Requirements  Audits  Monitoring  Grant Management Compliance  Special Terms and Conditions  FESG Checklist  Key Documents

4. Standard Agreement (Std 213) By Reference, the FESG Grant App is part of the Contract Contract Face Sheet includes the Term Dates, Exhibits and Signatures Exhibit A - Authority, Purpose & Scope of Work Exhibit B - Budget Detail & Payment Provisions Exhibit C - HCD General Terms & ConditionsExhibit D - State of CA General Terms & ConditionsExhibit E - Special Terms & Conditions

5. Standard Agreement (Std 213) - Clauses  Standard Non-Discrimination Clause  Efforts to hire small, minority and women’s business enterprise; and labor surplus area firms  Efforts to provide employment to lower income residents (HUD Section 3)

6. Standard Agreement (Std 213) - Conditions Prior to charging expenses to the FESG Grant Contract must be approved & executed by the State All special conditions & certifications must be met Contractors must start expending funds on the approved project within 180 days from date of award notification One Advance (30 day advance or $5,000 whichever is greater) is allowable within 60 days of the Contract start date

7. Standard Agreement (Std 213) - Budget Major Budget Activities are: Rehabilitation/Renovation (RR) Operations (OPS) Essential Services (ES) Homeless Prevention (HP) Supervisory Shelter Administration (SSA) Grant Administration (GA)

8. Standard Agreement (Std 213) - Budget  Before submitting your first PAR form, verify that the activity amounts listed are accurate and consistent with Exhibit B, Page 1, of your Contract  Budget Sheets will be mailed upon approval and execution of your contract  All changes to budgets sheets require HCD Rep approval

9. Standard Agreement (Std 213) - Budget Revisions Budget Revision Request Form is required for the following transactions: Contract Amendment  Change the Scope  Make cumulative transfers between Major Budget Activities exceeding 10% of the total grant amount  Contractor Name Change Budget Revision  Revise amounts between Major Budget Activities of 10% or less Line Item Revision  Revise amounts within Budget line items under the same Major Budget Activity Note:Include Detailed Breakdown of Individual Staff Costs and Summary of Non-Staff Project Costs

10. Standard Agreement (Std 213) -Advance of Funds  Advance request is DUE within 60 days of the contract start date  State FESG regulations allow for an advance of up to 30 days cash needs or $5,000 whichever is greater  Use PAR form to request Advance  FESG Expenditure Detail Sheet, in support of your advance, is due within 30 days of the close of the advance period

11. Financial Management  Grantee must maintain a financial accounting system that provides accurate, current and complete disclosure of financial status of each grant support activity  Inform your HCD representative if there are any management, authorized representative, fiscal contact or staffing changes  Fiscal contact is responsible for maintaining and submitting all FESG forms and reports

12. Financial Management -Fiscal Files All supportive contract and fiscal documentation must be maintained in file and made available at HCD’s request Files should be:  Current In Chronological Order/PAR #  Support Expenses that were reimbursed  Well organized

13. Reporting Requirements •  Program Activity Report (PAR) •  Quarterly Reports • Annual Performance Report  HUD Section 3 Report  Audits  Monitoring •  Close-Out

14. Reporting Requirements⁃Program Activity Reports (PARs)  Submit PARs no less than quarterly  Submit FESG Expenditure Detail sheets with each PAR  Costs must agree with your approved budget sheets, including staff/non-staff cost sheets  Allow 6-8 weeks for processing

15. Reporting Requirements⁃Program Activity Reports (PARs) Common Causes for Delays in Processing PARs  PARs not completed correctly Ineligible costs requested, expense details arevague, description of expense is missing, dates and/or billing periods are missing, job classification not noted, etc.  Unapproved job classification is used  Costs charged to incorrect budget activity Mathematical errors Not rounding to nearest dollar • Unresolved issues

16. Reporting Requirements⁃Quarterly Reporting Due 30 Days After the End of the Quarter Quarters are: Oct 1, 2009 thru Dec 31, 2009 Due: Jan 30, 2010 Jan 1, 2010 thru Mar 31, 2010 Due: Apr 30, 2010 Apr 1, 2010 thru Jun 30, 2010 Due: Jul 30, 2010 Jul 1, 2010 thru Sept 30, 2010 Due: Oct 30, 2010 Note:Late reports result in lower scores on future FESG Apps

17. Reporting Requirements⁃Quarterly Reporting – S A M P L E

18. Reporting Requirements ⁃Other Reporting  Annual PerformanceReport- Reports FESG accomplishments on an annual basis for each FESG contract HUD Section 3 Report-Reports the “Economic Opportunities for Low and Very Low-Income Persons referred to as Section 3 residents

19. Audits Refer to the Grant Management Manual  Type of audits, grantee responsibilities in selecting an auditor and how to prepare for an audit.  Noncompliance with audit requirements will jeopardize FESG funding Federal Requirements:  Must be completed by an independent auditor  Required if grantee receives $500,000 or more in federal assistance during FY  Performed annually

20. Audits Authorities  Audit requirements are outlined in OMB Circular A-133  Can access OMB Circulars at http://www.whitehouse.gov/omb/circulars/index.html  State Standard Agreement  Can obtain further information in the FESG Grants Management Manual

21. Monitoring⁃Site Monitoring Programs that are selected to be monitored are based on Risk Assessment Evaluations conducted by HCD Rep. Records and documents HCD will request:  Financial records (PARs)  Audit reports  Supporting program documentation  Personnel and client files  Physical site for health & safety

22. Monitoring⁃Desk Audit Process Programs that are selected to be monitored are based on Risk Assessment Evaluations conducted by HCD Rep  Information requested is based on the risk assessment  After review, HCD provides a letter outlining findings with request for verification of corrective action, if needed  Grantee responds to HCD’s requests promptly with written notification of corrective actions taken Note: Consequences for non-compliance, can be no payment of funds, return of funds, denial of future grants or possible closure

23. Monitoring⁃Site Monitoring/Corrective Action Process  HCD Rep will communicate any issues, concerns or findings with Contractor.  HCD Rep will follow-up in writing of any findings  Verification of corrective action will be required Note:Consequences for non-compliance, can be no payment of funds, return of funds, denial of future grants or possible closure

24. Close-Out ⁃(Due by Oct 30th)  Certificate of Completion and Certification of Grantee (Original signature required)  Final PAR submitted within 30 days after the contract termination date – identified as “Final”  Final Quarterly Report  All Outstanding Program Reports Note: Late submittal will affect future scoring

25. Grant Management Compliance Program compliance may impact future Rating and Ranking.  Timely submittal of PAR, quarterly and annual reports  Collect statistical information and documents supporting outcomes  Timely obligation of funds and expenditures  Consistency in fiscal management

26. Special Terms and Conditions ⁃Equal Opportunity Requirements  May not discriminateregarding employment  Provide opportunities for training and employment to lower-income persons (Section 3)  Formal policy regarding discrimination  Record Retention is 6 years

27. Special Terms and Conditions ⁃ Procurement  The Grant Management Manual has guidelines when purchasing and contracting for supplies, equipment and services acquired in whole or in part with FESG funds  The intent of procurement guidelines is to assure an open and competitive process in meeting federal goals

28. Special Terms and Conditions ⁃ Procurement Grantee Responsibilities:Establish a code of standards or ethicsCompetitive bidding No duplicate or ineligible purchasesEfforts to attract small and minority-owned businessesProcedures to ensure requirements are metMust maintain complete files to document compliance with these requirementsCompliance with State Standard Agreement

29. Special Terms and Conditions ⁃ Procurement Grantee must submit a detailed justification of the need for equipment/fixtures when:  Local governmentPurchase of $5,000 or more with a useful life of more than one year  Nonprofit organizations Purchase of $500 or more with a useful life of more thanone yearNote: HCD must pre-approve the procurement 60 days prior to the purchase

30. Special Terms and Conditions ⁃Procurement Methods  Small Purchases  Competitive Bids  Competitive Negotiation  Noncompetitive Negotiation

31. FESG Checklist of Do’s and Don’ts Do’s Carry over current balance (column 4) from previous PAR to your next PAR (column 2)  Submit PAR request 30 days from the close of the reporting period. (June marks the State of California’s budget year-end and is typically the busiest month of the year, so please be sure to submit your PARs timely to prevent any delays in your reimbursements.)

32. FESG Checklist of Do’s and Don’ts More Do’s Communicate with your FESG Representative Use the approved budget sheets as your reference for completing the PAR Ensure the heading at the top of each PAR is complete with the current Contact Person Name, Title, E-Mail Address, Phone Number, and Fax Number, etc. Use the correct staff titles and names on the detail expenditure sheet that corresponds to your approved Budget Sheets

33. FESG Checklist of Do’s and Don’ts More Do’s Identify payroll dates for staff on the Detailed Expenditure Sheet Use subtotals on each page of the FESG Expenditure Detail Sheet Round cents to the nearest dollar Type or write page numbers on the FESG Expenditure Detail Sheets if multiple pages are used

34. FESG Checklist of Do’s and Don’ts More Do’sSubmit the FESG Expenditure Detail Sheets in the following sequence:MAJOR REHAB/CONVERSION(If applicable) RENOVATION(If applicable) OPERATIONS (First Staff Costs, then Non-Staff Costs); Use the approved budget sheets as your reference for completing the PAR ESSENTIAL SERVICES (First Staff Costs, then Non-Staff Costs) HOMELESS PREVENTION(If applicable) SUPERVISORY SHELTER ADMINISTRATION GRANT ADMINISTRATIONSubmit the PAR with the original Signature by the Authorized Representative, Title, and Date

35. FESG Checklist of Do’s and Don’ts More Do’s  Please be sure to include the Contract No., Contractor Name, and identify the issue in the Subject Line on all correspondence  Example

36. FESG Checklist of Do’s and Don’ts Don'ts  Submit a PAR request for items not in your approved budget  Submit a PAR request with ineligible costs  Submit a PAR request for expenses that your organization has not incurred Request a budget revision or contract amendment after August 1st (the earlier, the better)

37. FESG Checklist of Do’s and Don’ts More Don'ts Send Timesheets, invoices, receipts, etc., unless specifically requested by your Representative Leave page numbers off the FESG Expenditure Detail Sheets if multiple sheets are used Report cents on PARs

38. Key Documents  Std 213 - Standard Agreement  FESG Application Submitted • HCD ApprovedBudget including Detailed Breakdown of Individual Staff Costs and Summary of Non-Staff Project Costs • HCD website for FESG Forms(Grant Mgmt Manual, PAR with FESG Expenditure Detail and FESG Eligible Expenses)  STD 204 – Payee Data Record Must be provided for each FESG Contract with the original signature

39. Grant Management Training Questions(Please use last page of this presentation to answer questions) • How many days after the contract terminates should the Final PAR be submitted? • Can your last reimbursement be held by the State until all reports/forms are submitted and approved by the State? • How many days after the month ends is the Program Activity Report and expenditure detail due? • Regarding the issue of Procurement, please list 3 grantee responsibilities.

40. Grant Management Training Questions • What is the maximum percentage of the total grant amount that can be moved between Major Budget Activities for a FESG contract without having to amend the contract? • How many years should you keep an accurate and complete set of accounting records? 7. When purchasing equipment or fixtures as a Nonprofit organization, a detailed justification is needed for a purchase greater than $ dollars?

41. Grant Management Training Questions • If a grantee receives more than $ in a Federal Fiscal-Year, an audit must performed and submitted. • Besides your HCD Representative, what else can you use as a source to determine if an expense might be eligible? • What are the three items that must be submitted in order to closeout the contract? • How should an expense for $494.60 be reported on the PAR?

42. Grant Management Training Questions • What other document is required to be submitted with the PAR? • What should be done if the fiscal representative of your organization changes? • On the Detail Expenditure sheet Line Item #2, what descriptions are needed for staff? 15.Who should sign the PAR before submission to HCD/FESG?

43. 2009 FESG Grant Management Training Certification I hereby attest that I have completed the “2009 FESG Grant Management Web-Based Training” and have answered and submitted the responses to questions to HCD to be placed in our fiscal file. Signature: Printed Name/Title: Contract No.: 09-FESG- Date:

44. FEDERAL EMERGENCY SHELTER GRANT PROGRAM (FESG)2009 GRANT MANAGEMENT TRAINING QUESTIONSAnswer Sheet Contractor Name:   Contract Number: 09 - FESG -               Printed Name/Title: Signature: