• I. General
  Information
• II. Preaward
  Requirements
• III. Postaward
  Requirements
• IV. Organization
  Structure
• 
  V. Appendices

Chapters:

• 2.1 Application Process
  • Eligible Recipients
  • Program Announcements
  • Nondiscrimination Requirements
  • Intergovernmental Review
  • Application Submittal
  • Application Review
  • Financial Analysis
  • Certifications
  • Seat Belt Use
  • Text Messaging While Driving
  • Tribal Eligibility—Government Discount Airfare
• 2.2 Acceptance of Award and Award Conditions
  • Award Notification and Acceptance Procedures
  • Special Conditions
  • Federal Obligation Process
  • Automated Clearinghouse Enrollment
• 2.3 Standards for Financial Management Systems
  • Accounting System
  • Total Project Cost Budgeting and Accounting
  • Commingling of Funds
  • Recipient and Subrecipient Accounting Responsibilities
  • Contracting with Small and Minority Businesses
  • Supplanting

2.1 Application Process

Financial Analysis

DOJ will complete a financial review of your grant application to ensure that you are financially capable and have the financial integrity to administer Federal funds. As part of this review, each grant-making component will take all of the following steps:

• Perform a cost analysis of your project.
  • Obtain cost breakdowns, verify cost data, evaluate specific elements of cost, and examine data to determine the necessity, reasonableness, allowability, allocability, and appropriateness of your proposed cost.
• Review your current indirect cost rates approved by DOJ or rates approved by other Federal agencies.
  • If your indirect cost rate has expired, you must either renegotiate the rate or you may request a one-time extension from your cognizant Federal agency. The negotiated cost rate may be extended for up to four years. Once the cognizant agency has approved your extension, you must abide by the rate for the agreed-upon time period. No further negotiations regarding indirect cost rates may occur until the extension has expired. At the end of the extension period you must negotiate a new indirect cost rate. Subsequent one-time extensions for up to four years are permitted if a renegotiation is completed between each extension request.
  • If you are a non-Federal entity and have never received a negotiated indirect cost rate, except for those non-Federal entities described in Appendix VII to 2 C.F.R. Part 200???States and Local Government and Indian Tribe Indirect Cost Proposals, you may elect to negotiate a rate or charge a de minimis rate of 10% of modified total direct costs (MTDC) which may be used indefinitely.
• Determine the adequacy of your accounting system and operations to ensure that Federal funds, if awarded, will be expended in a reasonable manner.
  • If you are a non-Federal entity and you have not received an award within the past 3 years, then an additional financial review may be required.
• Review the status of any Federal debt that you may have to ensure you are not delinquent, and other prescreening information, including checking SAM to ensure your organization is not suspended or debarred from receiving Federal funds.