Section 141.211. Close-out notification

A contract administered by a grantee shall be officially closed out upon program completion or the contract period, whichever comes first. While there are standard requirements to the close-out process, the Department will deal directly with the grantee to determine the most appropriate process and timetable for accomplishing these requirements. The Department will notify a grantee as to the time to begin the necessary close-out procedures. These procedures will consist of the following:

(1) Program audit. The Department will require an audit by an independent Certified Public Accountant. An audit shall be in conformance with Office of Management and Budget Circular A-128. The exact extent and timing of the audit will depend on how recently the grantee may have had an audit, or how soon one is scheduled, if any.

(2) Property disposition. If property was acquired in whole or part with program funds, there shall be a proper disposition of the property before final close-out. The Department will instruct grantees as to how this shall be done.

(3) Third party claims. If, during the grant, law suits or liens have been brought against the grantee, these shall be adequately resolved prior to, or as soon as possible after close-out. The Department will provide instructions to the grantee if the cases occur.

(4) Fund reimbursements and accounting. If the grantee has not fully expended program funds received or if the grantee has generated program income by virtue of program assisted activities, or both, these funds shall be accounted for to the Department. In the case of unexpended balances of program funds, these shall be returned to the Department prior to final close-out. In the case of program income, the Department will permit grantees to retain this income in accordance with 24 CFR 570.506 (relating to program income).

(5) Final grant report. Prior to final closeout, the grantee shall provide to the Department a final performance report which summarizes the results of activities undertaken with program funds. The Department will provide instructions as to the full content of this report.

The provisions of this § 141.211 adopted May 3, 1985, effective May 4, 1985, 15 Pa.B. 1614; amended March 21, 1986, effective March 22, 1986, 16 Pa. B. 943. Immediately preceding text appears at serial pages (98894) to (98895).