TITLE 40. SOCIAL SERVICES AND ASSISTANCE

Part 21. TEXAS COUNCIL FOR DEVELOPMENTAL DISABILITIES

Chapter 877. GRANT AWARDS

40 TAC §§877.1, 877.3, 877.4

The Texas Council for Developmental Disabilities proposes amendments to 40 TAC §877.1, §877.3, and §877.4 concerning grants awarded to public or private organizations. The proposed amendments clarify that project specific independent reviews and other procedures may be required of grant recipients who are not otherwise required to have an annual independent audit by federal or state requirements. The proposed amendments also clarify procedures for grantees to request reconsideration of a suspension or termination of funding.

Roger Webb, Executive Director, has determined that for each year of the first five years the amended sections are in effect there will be no fiscal implications for state or local government.

Mr. Webb has also determined that for each year of the first five years the sections as proposed are in effect the public benefit as a result of the amended sections is the efficient accountability of grants awarded by the agency, and a clear understanding of the process for grantees to request reconsideration of certain funding decisions.

Mr. Webb has determined that for the first five years the amended sections as proposed are in effect, there will be no effect on small businesses or individuals. In addition, there will be no local employment impact as a result of the amended sections as proposed.

Comments may be submitted to Carl Risinger, Operations Director, Texas Council for Developmental Disabilities, by mail at: 6201 E. Oltorf, Suite 600, Austin, Texas; by facsimile at (512) 437-5434; or be e-mail at tcdd@tcdd.state.tx.us. Comments will be accepted for 30 days following publication of the proposed rules in the Texas Register.

The proposed amendments are authorized under Texas Human Resources Code §112.020 which provides the Council with authority to adopt rules as necessary to implement the Council's duties and responsibilities.

The amendments will effect Texas Human Resources Code, Title 7, Chapter 112, Developmental Disabilities.

§877.1.General.

(a) - (e) (No change.)

(f) Independent audits of grantees are required for each year of funding in accordance with the requirements of OMB Circulars and Texas Uniform Grant Management Standards. Project specific independent reviews and other procedures may be required of grantees not subject to annual independent audit requirements of OMB or UGMS consistent with Council policies. The Council shall reimburse the grantees for the reasonable cost of the required audit activities . [ The Council may require project specific independent audits of grantees receiving less than $300,000 annually of council funds. ]

(g) - (j) (No change.)

§877.3.Suspension or Termination of Funding.

(a) - (c) (No change.)

(d) The procedure to request reconsideration of a suspension or termination of funding shall be included in grant award materials.

§877.4.Appeal of Funding Decisions.

Appeals may be submitted from applicants for grants who did not receive funding, or from grantees whose grants have not been awarded continuation funding [ , or from grantees whose grants have been suspended or terminated prior to the end of a funding period ]. The appeals process adopted by the Council shall be included in grant application [ and grant award ] materials.

This agency hereby certifies that the proposal has been reviewed by legal counsel and found to be within the agency's legal authority to adopt.

Filed with the Office of the Secretary of State on December 20, 2007.

TRD-200706525

Roger A. Webb

Executive Director

Texas Council for Developmental Disabilities

Proposed date of adoption: February 22, 2008

For further information, please call: (512) 437-5442