Funds may only be used to cover costs that—

1. are necessary expenditures incurred due to the public health emergency with respect to the Coronavirus Disease 2019 (COVID–19).
   
   1. The requirement that expenditures be incurred “due to” the public health emergency means that expenditures must be used for actions taken to respond to the public health emergency.
   2. These may include expenditures incurred to respond to second-order effects of the emergency, such as by providing economic support to those suffering from employment or business interruptions due to COVID-19-related business closures.
2. were not accounted for in the budget most recently approved as of March 27, 2020 (the date of enactment of the CARES Act).
   
   1. The “most recently approved” budget refers to the enacted budget for the relevant fiscal period for the agency, without taking into account subsequent supplemental appropriations enacted or other budgetary adjustments made by that agency in response to the COVID-19 public health emergency.
   2. A cost meets the requirement of not being accounted for in the budget as of March 27, 2020 if either (a) the cost cannot lawfully be funded using a line item, allotment or allocation within that budget, or the cost is for a substantially different use from any expected use of funds in such a line item, allotment or allocation.
   3. A cost is not considered to have been accounted for in a budget merely because it could be met using a budgetary stabilization fund, rainy day fund, or similar reserve account.
   4. A cost is “incurred” when the agency has expended funds to cover the cost.

3. were incurred during the period that begins on March 1, 2020 and ends on December 30, 2020.

Further Requirements: Applicants should be aware that, if funded, they will be expected to comply with the following:

1. Submit Program Progress Reports monthly, noting progress towards goals and objectives, as outlined in the Resolution to commit the funds, and also to report on the number of clients served;

2. Obtain and maintain any and all federal, state, and local licenses, and permits (including professional certifications, as necessary) to operate the Project;

3. If recipient uses a vehicle in providing the services, the Recipient shall carry or provide Comprehensive Automobile Liability Insurance covering bodily injury and property damage, with minimum coverage as follows: a. Bodily Injuries: $1,000,000 each person; $1,000,000 each occurrence b. Property Damage: $1,000,000 each person; $1,000,000 each occurrence;

4. Carry or provide Comprehensive Fire and Hazard Insurance covering the full replacement costs of the Program;

5. Carry or provide Comprehensive Liability Insurance, including professional malpractice insurance where appropriate;

6. Avoid all activities or appearances of conflict of interest, namely: no officer, agent, consultant, or employee of Recipient may use her/his position to secure or grant any unwarranted privilege, preference, exemption, or advantage for her/himself, any member of her/his household, any business in which s/he has a financial interest. This prohibition particularly applies to the awarding or execution of any contract, subcontract, or agreement with respect thereto, or the proceeds thereof, either for her/himself or for those whom s/he has family or business ties, during her/his tenure or for one year thereafter, for any work to be performed pursuant to this Project;

7. Recipient shall record all costs of the Program by budget line items, supported by adequate source documentation (including checks, payrolls, time records, invoices, contracts, vouchers, orders, and other accounting documents evidencing the propriety of all costs) in a ledger separate from all other revenue sources; and

8. Recipient shall make these financial records available to County staff for audit whenever requested. 

Fiscal Management and Accountability

1. County grants are disbursed as reimbursement only; grant funds are paid to grant recipients based on actual expenditures. The agency must first expend its own funds on the “activities” approved in the Resolution to Grant funds, and then submit appropriate documentation as a Request for Reimbursement.

a) Appropriate documentation includes the General Ledger, Payroll Ledger, a copy of the receipt or invoice detailing what was purchased or paid for, and limited information on client beneficiary (if expenditure was on behalf of client), and time sheets for staff showing hours devoted to the BNA specific project.

b) It is advisable that agencies have three months of operating reserves, as reimbursement of funds can take 30 days after receipt of appropriate documentation.

2. Recipient agencies must have:

a) Adequate accounting records that provide reliable, complete and up-to-date information about sources and uses of funds, including retention of “source documentation” (receipts, invoices, etc.) for all financial transactions;

b) Adequate internal controls that warrant against misuse of funds or unallowable expenditures;

c) Bank account in the name of the agency; and d) All checks made payable to any Board Member or the Executive Director (reimbursements, mileage, payroll, etc.) must be signed by two authorized persons.

3. While County funds may be used to support year-end recognition events for volunteers and/or clients, County funds will not reimburse expenses related to fundraising activities, meals provided to staff, nor any alcoholic beverages.

Conflicts of Interest Prohibited In all financial transactions concerning the project and these County funds, conflicts of interest – including the appearance of any conflict – are to be avoided.

1. The general rule is that no person who is an employee, agent, consultant, member of the Board of Directors or Advisory Board, or officer who exercises any functions or responsibilities with respect to expending Agency funds or who are in a position to participate in a decision making process with regard to such activities, may obtain a financial interest or benefit from a County-funded activity or have a financial interest in any contract, subcontract, or agreement with respect to this County-funded project.

2. To avoid the appearance of any conflict of interest, this prohibition extends to immediate family (by blood or marriage) members of any of the aforementioned persons.