Module 5: Budget Revision Amendments

How to File a Budget Revision Amendment

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Transcript

Do you need to make a revision to your approved line item budget? You may need to file a Budget Revision amendment.

In general, grantees are allowed a certain degree of latitude to re-budget within and between budget categories (25% of the budget total) to meet unanticipated needs and to make other types of post-award changes. These budget modifications are allowed provided they are for activities detailed in the approved OWP for that budget period and do not meet one or more of the below prior approval requirements.

  • Transfer of funds budgeted for participant support costs. Participant support costs are defined as direct costs for items such as stipends or subsistence allowances, travel allowances, and registration fees paid to or on behalf of participants or trainees in connection with conferences, or training projects.
  • Transfer or contracting out of any work under the Federal award unless described in the application and funded in the approved Federal award. This does not apply to acquisition of supplies, material, equipment or general support services.
  • Changes in the amount of approved cost-sharing or matching. (Note: ARP grant recipients were not required to provide a non-federal share match; however, in some rare cases, ARP applicants still opted to commit non-federal funds.)‍
  • A fixed amount sub-award as described in 75.353.
  • The HHS awarding agency may, at its option, restrict the transfer of funds among direct cost categories or programs, functions and activities if the amount exceeds $150,000 or 10% of the total budget amount.
  • Changes the scope of the project. For ANA’s purposes, a change in scope may result from a significant alteration of the approved project activities, change in the direction of the project, the type of services delivered, the number of beneficiaries to be served, or training provided.
  • Adds new line items that fall under the prior approval cost principals according to 45 CFR Part 75.  
  • Moves funds from direct costs to indirect costs and vice versa. This is typically necessary as a result of a change in the indirect cost rate issued by the cognizant agency.

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  • Dawn David (00:02):
  • Hello, my name is Dawn David and I'm with the EasternRegion Training & Technical Assistance Center for ANA. Today's video willprovide guidance on understanding and managing your administration for NativeAmericans grant award. The topic we will be reviewing today is preparing abudget modification.
  • Dawn David (00:22):
  • Learning objectives for this tutorial are to provide a budgetmod introduction, a review of the documents necessary for submissionrequirements, and a demonstration of how to submit the amendment throughGrantSolutions.
  • Dawn David (00:38):
  • Let's begin with the basics of a budget modification, orbudget mod. Grantees begin a budget modification by first determining what andhow much you wish to rebudget. Once that is determined you are advised tonotify by email your OGM and ANA specialists before making revisions orsubmitting the amendment to avoid any potential disallowed expenditures and/oraudit exceptions. In your email be sure to tell them what funding is beingmoved, where it is to be moved to, and why this is necessary.
  • Dawn David (01:13):
  • There are instances where any grantees are allowed somelatitude to rebudget between budget categories, which is up to 25% of the totalbudget, without submitting a budget mod. These are only allowed if they are foractivities already part of an approved OWP for the same budget period, and donot require preapproval.Again, email your OGM and ANA specialist to ensure afull budget mod amendment is not necessary.And this brings us to instances whena budget modification amendment is absolutely required, which we will cover indetail on the next slide.
  • Dawn David (01:55):
  • The instances requiring a budget mod are as follows.You're transferring funds budgeted for participant sports costs. This includesstipends, subsistence allowance, travel allowances and registration fees paidto or on behalf of participants for conferences or training projects.
  • Dawn David (02:15):
  • Next, transfer or contracting out of any work not alreadyincluded in the approved Federal award. An example of this would be work thatit was assigned by project staff in your approved OWP but due to changes in circumstancesyou wish to hire a consultant to complete the work.
  • Dawn David (02:34):
  • The next one is changes in the amount of approved costsharing or cost matching.
  • Dawn David (02:41):
  • Also changes in the scope of your project. Adding a newline item will require a complete budget modification amendment.
  • Dawn David (02:51):
  • Results in a need for additional funding. Forclarification this doesn't mean that you can request more funding after anaward. There may be occasions where ANA has approved additional funds, usuallyfor a specific purpose, and a budget mod will be required and must be approvedbefore the grantees can access those funds.
  • Dawn David (03:14):
  • Direct and indirect. If you plan on moving funds betweendirect costs and indirect cost and vice versa.
  • Dawn David (03:22):
  • And also ACF may at its option restrict the transfer offunds among direct cost categories or programs, functions, and activities ifthe amount exceeds $150,000 or 25% of the total budget amount.
  • Dawn David (03:38):
  • So now you've communicated with your OGM and/or ANAprogram specialist, and you are required to submit a budget mod, what documentsdo you need? For all budget mods grantees must submit the following.
  • Dawn David (03:52):
  • A letter on your organization's letterhead and signed bythe authorizing representative. The letter should request the budget revisionand explain the reasons for the change.
  • Dawn David (04:04):
  • A revised Standard Form 424 and 424A with the new budgetcategory amounts.
  • Dawn David (04:11):
  • A revised line item budget showing the approved budget, whatis requested to be revised and the new amounts, and a new budget justificationnarrative that inserts the revised amounts in justification into the approvedbudget narrative.
  • Dawn David (04:28):
  • The next two items are not required for every budget modbut your program specialist may inform you that the following supplementalitems are needed, and these are a cost quote for purchasing unusual or highercost items and/or a current indirect cost rate agreement. This would benecessary if the budget revision affects the IDC amount and/or you need toupdate your IDC to cover the current period.
  • Dawn David (04:57):
  • Now we'll go into more detail of each component in thesubmission process into the Grant Solution System.
  • Dawn David (05:04):
  • Okay, so you're going to need to sign into your Grant SolutionsAccount, and this is the screen they get when you sign in you're going tochoose your ANA Grant that you're going to amend, and choose manage amendments.Once you get to this screen, you're going to choose new and you're going to hitthe radio button for budget revision and click create amendment.
  • Dawn David (05:37):
  • From here this is where you're going to upload all ofthose documents that we had mentioned earlier. You're going to upload yourcover letter in this section right here, and you're going to choose uploadfiles, and you'll follow the directions to upload your cover letter, and thesame thing for your budget narrative. You're going to upload the file fromhere, as well as the line item budget. For the 424A and the 424 you can enterit online by clicking these buttons.
  • Dawn David (06:09):
  • So this is the Standard Form 424A, and you'll fill in thisform. And once you filled in the amounts you're going to press the save buttonand click yes. And you'll notice that the save was successful.
  • Dawn David (06:29):
  • And you're going to repeat the process for the 424 aswell. The same thing, you're going to click on the enter online if you wish.
  • Dawn David (06:37):
  • And if you need to upload either the price quote or thecopy of your indirect cost agreement this is where you would do it formiscellaneous information, and you upload it here. And you'll notice that thestatus will let you know what's been uploaded and what needs to be included inyour amendment.
  • Dawn David (07:01):
  • And once you have all these checked in and everythinguploaded you can verify your submission. The list of your forms will show uphere, and if you're satisfied with what's been up loaded and what's availableyou'll click the final submission button, and click okay.
  • Dawn David (07:26):
  • And if you have any problems with any part of this processfeel free to contact your regional technical assistance providers.
  • Dawn David (07:37):
  • And in closing with important reminders, remember tomaintain communication with your OGM and ANA specialist before and during youramendment. And secondly, OGM acknowledgement in your revised NGA. Please notethat it may take longer than expected to get a budget mod approved, but youmust receive a properly signed Notice of Grant Award from ACF before you canproceed with the implementation of your request. If you do not hear from OGMplease do not assume that your request has been approved.
  • Speaker 2 (08:11):
  • This has been a presentation of the Administration forNative Americans. To find resources and information used in this video checkout the ANA Grantee Toolkit, or contact your regional TA provider.

Up next

Module 6: No Cost Extension Amendments

How to File a No Cost Extension (NCE) Amendment

Training Videos

Module 1: Getting Started – ARP Grant Recipient Orientation
Module 1: Getting Started – ARP Grant Recipient Orientation
Module 3: Due Semi-Annually (and Annually) – Financial Financial Report (FFR) (a.k.a. FSR)
Module 3: Due Semi-Annually (and Annually) – Financial Financial Report (FFR) (a.k.a. FSR)
Module 4: GrantSolutions Overview
Module 4: GrantSolutions Overview
Module 5: Budget Revision Amendments
Module 5: Budget Revision Amendments
Module 6: No Cost Extension Amendments
Module 6: No Cost Extension Amendments
Module 7: Change in Key Personnel Amendments
Module 7: Change in Key Personnel Amendments
Module 8: HHS Cost Principles and 45 CFR Part 75
Module 8: HHS Cost Principles and 45 CFR Part 75
Module 9: Semi-Annual ARP Progress Report
Module 9: Semi-Annual ARP Progress Report
Module 10: Final ARP Post-Project Progress Report
Module 10: Final ARP Post-Project Progress Report

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