Appendix A to Part 1128 - Terms and Conditions for FMS Article I, “Financial Management System Standards”
2:1.2.8.6.13.7.64.7.28 : Appendix A
Appendix A to Part 1128 - Terms and Conditions for FMS Article I,
“Financial Management System Standards”
Unless any part of this appendix is reserved, as provided in §
1128.105, a DoD Component's general terms and conditions must
include the following wording for FMS Article I.
FMS Article I. Financial Management System Standards. (DECEMBER
2014)
Section A. System standard for States. As a State, you
must expend and account for funds under this award in accordance
with:
1. Applicable State laws; and
2. To the extent they comply with the requirements of Section B
of this Article, your procedures for expending and accounting for
your own State funds.
Section B. System standards for all recipients. Your
financial management system must provide for:
1. Inclusion, in your accounts, of the following information
about each DoD grant or cooperative agreement that you receive:
a. That you received the award from DoD;
b. The number and title listed in the Catalog of Federal
Domestic Assistance for the DoD program under which the award was
made;
c. The DoD award number; and
d. The year (your fiscal year) in which you received the
award.
2. Accurate, current, and complete disclosure of the financial
results of the award needed to comply with financial and
programmatic reporting requirements that are specified in REP
Articles I and II of these general terms and conditions, as
supplemented by any award-specific terms and conditions of this
award concerning reporting requirements. If you are asked at any
time under this award to report financial information on an accrual
basis, you:
a. Need not establish an accrual accounting system if you
maintain your records on a different basis; and
b. May develop the accrual data based on an analysis of the data
you have on hand.
3. Records that identify adequately the sources of funds for all
activities funded by DoD awards, including any required cost
sharing or matching, and the application of those funds. This
includes funding authorizations; your obligations and expenditures
of the funds; unobligated balances; property and other assets under
the award; program income; and interest.
4. Effective control over, and accountability for, all funds,
property, and other assets under this award. You must adequately
safeguard all assets and ensure they are used solely for authorized
purposes (see Section C of this article for additional requirements
concerning internal controls).
5. Comparison of expenditures under this award for project or
program purposes with amounts in the approved budget for those
purposes.
6. The ability to relate financial data to performance
accomplishments under this award if you are required to do so by
the programmatic reporting requirements in REP Article I of these
general terms and conditions, as supplemented by any award-specific
terms and conditions of this award concerning reporting
requirements.
7. Written procedures:
a. To implement requirements specified in FMS Article II,
“Payments;”
b. For determining the allowability of costs, which for this
award are determined in accordance with FMS Article III, “Allowable
costs, period of availability of funds, and fee or profit,” of
these general terms and conditions, as supplemented by any
award-specific terms and conditions of this award that relate to
allowability of costs.
Section C. Internal controls. Your system of internal
controls must conform to OMB guidance in 2 CFR 200.303. With
respect to paragraph (e) of 2 CFR 200.303, your internal control
system must include measures to safeguard any information that
Federal statute, Executive order, or regulation requires to be
protected (e.g., personally identifiable or export
controlled information), whether generated under the award or
provided to you and identified as being subject to protection.