[Code of Federal Regulations]

[Title 28, Volume 2]

[Revised as of July 1, 2005]

From the U.S. Government Printing Office via GPO Access

[CITE: 28CFR66.12]



[Page 175-176]

 

                    TITLE 28--JUDICIAL ADMINISTRATION

 

              CHAPTER I--DEPARTMENT OF JUSTICE (CONTINUED)

 

PART 66_UNIFORM ADMINISTRATIVE REQUIREMENTS FOR GRANTS AND COOPERATIVE 

AGREEMENTS TO STATE AND LOCAL GOVERNMENTS--Table of Contents

 

                    Subpart B_Pre-Award Requirements

 

Sec. 66.12  Special grant or subgrant conditions for ``high-risk'' 

grantees.



    (a) A grantee or subgrantee may be considered ``high risk'' if an 

awarding agency determines that a grantee or subgrantee:

    (1) Has a history of unsatisfactory performance, or

    (2) Is not financially stable, or

    (3) Has a management system which does not meet the management 

standards set forth in this part, or

    (4) Has not conformed to terms and conditions of previous awards, or

    (5) Is otherwise not responsible; and if the awarding agency 

determines that an award will be made, special conditions and/or 

restrictions shall correspond to the high risk condition and shall be 

included in the award.

    (b) Special conditions or restrictions may include:

    (1) Payment on a reimbursement basis;

    (2) Withholding authority to proceed to the next phase until receipt 

of evidence of acceptable performance within a given funding period;



[[Page 176]]



    (3) Requiring additional, more detailed financial reports;

    (4) Additional project monitoring;

    (5) Requiring the grante or subgrantee to obtain technical or 

management assistance; or

    (6) Establishing additional prior approvals.

    (c) If an awarding agency decides to impose such conditions, the 

awarding official will notify the grantee or subgrantee as early as 

possible, in writing, of:

    (1) The nature of the special conditions/restrictions;

    (2) The reason(s) for imposing them;

    (3) The corrective actions which must be taken before they will be 

removed and the time allowed for completing the corrective actions and

    (4) The method of requesting reconsideration of the conditions/

restrictions imposed.