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Published byElijah Power Modified over 11 years ago
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Administrative Costs of Recovery Act Activities Arizona Issues D. Clark Partridge State Comptroller
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American Recovery and Reinvestment Act (ARRA) Purposes Recovery Accountability Transparency
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American Recovery and Reinvestment Act (ARRA) New Centralized Requirements Governors Office Oversight Section 1512 Reporting Auditing Other
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ARRA Issues Barriers to ARRA Success Speed of Implementation Unprecedented Accountability & Transparency New State responsibilities No Administrative $ Existing OMB A-87 didnt accommodate OMB Responded with May 11, 2009 Guidance Provides.5% for Administrative Costs Allows for Estimates for Central Administrative Costs Recognized need for quick implementation
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Current ARRA Issues Again, traditional OMB A-87 model not responsive to speed and demands--Program Specific New overarching requirements that impact/benefit ARRA programs/grants Need to apply fundamental concepts of cost principles of OMB A-87 AND Meet Requirements of ARRA
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Potential Solution Develop model to: Appropriately Charge or Allocate Costs to ARRA Grant Programs Consistent with OMB A-87 concepts. Fairness and Equity Efficiency and Effectiveness Demonstrate Benefit to Federal Programs/ARRA Appropriately and Timely Implement ARRA
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Potential Solution Develop Budgets for Central ARRA requirements and services Calculate Tentative Rate-Use Budgeted ARRA $ as base Charge ARRA Grants based on Tentative Rate & Deposit in Contingency Fund Demonstrate Benefit to ARRA Reconcile to Actual Costs Report Annually to DHHS-DCA and agree upon disposition of any remaining Contingency $
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Conclusion Need to refine model Work with OMB & DHHS-DCA Potential Impact of other ARRA environmental factors and developments
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