80 FR 81439 - Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards Technical Amendments
DEPARTMENT OF LABOR Federal Register Volume 80, Issue 250 (December 30, 2015)
Federal Register Volume 80, Issue 250 (December 30, 2015)
| Page Range | 81439-81441 | |
| FR Document | 2015-32725 |
[Federal Register Volume 80, Number 250 (Wednesday, December 30, 2015)] [Rules and Regulations] [Pages 81439-81441] From the Federal Register Online [www.thefederalregister.org] [FR Doc No: 2015-32725] ======================================================================== Rules and Regulations Federal Register ________________________________________________________________________ This section of the FEDERAL REGISTER contains regulatory documents having general applicability and legal effect, most of which are keyed to and codified in the Code of Federal Regulations, which is published under 50 titles pursuant to 44 U.S.C. 1510. The Code of Federal Regulations is sold by the Superintendent of Documents. Prices of new books are listed in the first FEDERAL REGISTER issue of each week. ======================================================================== Federal Register / Vol. 80, No. 250 / Wednesday, December 30, 2015 / Rules and Regulations [[Page 81439]] DEPARTMENT OF LABOR 2 CFR Part 2900 RIN 1205-AB71 Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards Technical Amendments AGENCY: Department of Labor. ACTION: Final rule; technical amendment. ----------------------------------------------------------------------- SUMMARY: This final rule implements technical amendments to the Department of Labor's (Department or DOL) adoption of the Office of Management and Budget (OMB) Guidance in the Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards to Non-Federal Entities. The Department is making technical amendments in this final rule; all regulatory language included here is consistent with either the policies in the Uniform Guidance or the Department's existing policies and practices. DATES: Effective Date: December 30, 2015. FOR FURTHER INFORMATION CONTACT: Adele Gagliardi, Administrator, Office of Policy Development and Research (OPDR), at 202-693-3700 (voice); or 202-693-2766 (facsimile). These are not toll-free numbers. SUPPLEMENTARY INFORMATION: The Preamble to this rule is organized as follows: I. Background--Provides a Brief Description of the Development of the Final Rule and a Summary of the Technical Changes. II. Administrative Information--Sets Forth the Applicable Regulatory Requirements. I. Background The Department implements, in this final rule, technical amendments to 2 CFR 2900 which supplemented the final guidance Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards published by the Office of Management and Budget (OMB) on December 26, 2013, (Uniform Guidance, available at 78 FR 78589). The Department published 2 CFR part 2900 as part of OMB's joint interim final rule at 2 CFR part 200 (Interim Final Rule, available at 79 FR 75867) which implemented in regulations the final guidance published earlier by OMB. 2 CFR part 2900 has Department specific policies and procedures for financial assistance administration which were approved by OMB and supplements the information in 2 CFR part 200. The Uniform Guidance followed on a notice of proposed guidance issued February 1, 2013, (available at 78 FR 7282), and an advanced notice of proposed guidance issued February 28, 2012, (available at 77 FR 11778). The final guidance incorporated feedback received from the public in response to those earlier issuances. Additional supporting resources are available from the Council on Financial Assistance Reform at www.cfo.gov/COFAR. The Uniform Guidance delivered on two presidential directives; Executive Order 13520 on Reducing Improper Payments (74 FR 62201; November 15, 2009), and February 28, 2011, Presidential Memorandum on Administrative Flexibility, Lower Costs, and Better Results for State, Local, and Tribal Governments, (Daily Comp. Pres. Docs.; http://www.thefederalregister.org/fdsys/pkg/DCPD-201100123/pdf/DCPD-201100123.pdf). It reflected more than two years of work by the Council on Financial Assistance Reform to improve the efficiency and effectiveness of Federal financial assistance. For a detailed discussion of the reform and its impacts, please see the Federal Register notice for the issuance of the final guidance (78 FR 78589). The Department provided additional language in 2 CFR part 2900 beyond that included in 2 CFR part 200, consistent with the Department's existing policy, to provide more detail with respect to how the Department intended to implement the policy, where appropriate. The Department is not making any new policy with the technical amendments in this final rule; all regulatory language included here is consistent with either the policies in the Uniform Guidance or the Department's existing policies and practices as explained in 2 CFR part 2900. This final rule incorporates minor changes to 2 CFR part 2900 to add citations or correct citation errors in Sec. Sec. 2900.1, 2900.5, 2900.7, and 2900.13. In addition, non-substantive deletions and additions of a word or phrase were made to Sec. Sec. 2900.3, 2900.13, 2900.15, 2900.16, and 2900.21 to clarify the language in the section. Finally, typographical errors were corrected in Sec. Sec. 2900.5 and 2900.20. Accordingly, the regulations in 2 CFR part 2900 are amended to include updated information. II. Administrative Information Paperwork Reduction Act In accordance with the Paperwork Reduction Act of 1995 (44 U.S.C. Ch. 3506; 5 CFR 1320 Appendix A.1) (PRA), the Department reviewed this final rule and determined that there are no new collections of information contained within the rule. Regulatory Flexibility Act The Regulatory Flexibility Act (RFA) requires an agency that is issuing a final rule to provide a final regulatory flexibility analysis or to certify that the rule will not have a significant economic impact on a substantial number of small entities. This final rule implements technical amendments to 2 CFR 2 part 900 which supplemented OMB final guidance issued on December 26, 2013. Therefore, this final rule and will not have a significant economic impact beyond the impact of the December 2013 guidance. Executive Order 12866 Determination Pursuant to Executive Order 12866, OMB's Office of Information and Regulatory Affairs (OIRA) designated the joint interim final rule at 2 CFR 200, which included Department specific policies and procedures for financial assistance administration at 2 CFR part 2900, published on December 19, 2014, (Interim Final Rule, available at 79 FR 75867) not to be significant. This final rule implements technical amendments to 2 CFR part 2900 and introduces no new policy issues, economic impacts, or new burdens; therefore, pursuant to Executive Order 12866, this action is not a significant regulatory action and was not submitted to OMB for review. [[Page 81440]] Administrative Procedure Act (5 U.S.C. 553) Waiver of Proposed Rulemaking and Waiver of Delayed Effective Date (a) Waiver of Proposed Rulemaking--In General Under the Administrative Procedure Act (APA), the Department generally is required to publish a notice of proposed rulemaking and provide the public with an opportunity to comment on proposed regulations prior to establishing a final rule. However, as noted earlier in the background preamble, OMB offered the public two opportunities to comment on the Uniform Guidance, first through an advanced notice of proposed guidance and, second, through a notice of proposed guidance. OMB considered over 300 comments submitted in response to each of these notices. OMB has directed agencies to adopt the uniform guidance in part 200 without change, except to the extent that an agency can demonstrate that any conflicting agency requirements are required by statute or regulations, or consistent with longstanding practice and approved by OMB. As explained above, the Department published agency specific supplemental information that was approved by OMB in 2 CFR part 2900. This final rule only makes technical amendments to 2 CFR part 2900. Finally, OMB made clear that the requirements in 2 CFR part 200 (including the audit requirements in subpart F) and 2 CFR part 2900, will apply, starting on December 26, 2014, giving recipients of all types of financial assistance advance notice of when the regulations would become effective. Therefore, under 5 U.S.C. 553(b)(B), there is good cause for waiving proposed rulemaking as unnecessary. (b) Waiver of Delayed Effective Date--In General Generally, the Department is subject to the APA requirement to delay the effective date of its final regulations by 30 days after publication, as required under 5 U.S.C. 553(d), unless an exception under subsection (d) applies. Under 5 U.S.C. 553(d), the Department may waive the delayed effective date requirement if it finds good cause and explains the basis for the waiver in the final rulemaking document or if the regulations grant or recognize an exemption or relieve a restriction. In the present case, there is good cause to waive the delayed effective date for three reasons. First, OMB informed the public on December 26, 2013, that agencies would be required to adopt the Uniform Guidance and make it effective by December 26, 2014. The public had significant time to prepare for the promulgation of those interim final regulations. Second, while those interim final regulations were based on a new, more effective method for establishing government-wide requirements, the substance of the regulations are, in most cases, virtually identical to the requirements that exist in current agency regulations. Finally, this final rule makes technical changes to the Department's agency-specific supplemental information at 2 CFR part 2900 that was made effective along with 2 CFR part 200 on December 27, 2014. Delaying the implementation of these technical amendments would cause errors that were discovered in 2 CFR part 2900 to be in effect for an additional 30 days causing unnecessary confusion to recipients of Federal financial assistance. Based on these considerations, the Department has determined that there is good cause to waive the delayed effective date for these final regulations. Unfunded Mandates Reform Act of 1995 Determination Section 202 of the Unfunded Mandates Reform Act of 1995 (Unfunded Mandates Act) (2 U.S.C. 1532) requires that covered agencies prepare a budgetary impact statement before promulgating a rule that includes any Federal mandate that may result in the expenditure by State, local, and tribal governments, in the aggregate, or by the private sector, of $100 million or more in any one year. If a budgetary impact statement is required, section 205 of the Unfunded Mandates Act also requires covered agencies to identify and consider a reasonable number of regulatory alternatives before promulgating a rule. OMB has determined that this final rule will not result in expenditures by State, local, and tribal governments, or by the private sector, of $100 million or more in any one year. Accordingly, the Department has not prepared a budgetary impact statement or specifically addressed the regulatory alternatives considered. Executive Order 13132 Determination The Department has determined that this final rule does not have any Federalism implications, as required by Executive Order 13132. Plain Language The Department drafted this rule in plain language. List of Subjects in 2 CFR Part 2900 Accounting, Administrative practice and procedure, Appeal procedures, Auditing, Audit requirements, Cost principles, Grant programs, Grant programs--labor, Grants administration, Labor, Reporting and recordkeeping requirements. Under the authority of the 5 U.S.C. 301, the Department of Labor amends 2 CFR part 2900 as follows: PART 2900--UNIFORM ADMINISTRATIVE REQUIREMENTS, COST PRINCIPLES, AND AUDIT REQUIREMENTS FOR FEDERAL AWARDS 0 1. The authority citation for part 2900 continues to read as follows: Authority: 5 U.S.C. 301; 2 CFR 200. 0 2. Revise Sec. 2900.1 to read as follows: Sec. 2900.1 Budget. In the DOL, approval of the budget as awarded does not constitute prior approval of those items requiring prior approval, including those items the Federal Awarding agency specifies as requiring prior approval. See Sec. 200.407 and Sec. 2900.16 for more information about prior approval. (See 2 CFR 200.8) 0 3. Amend Sec. 2900.3 by revising the introductory text to read as follows: Sec. 2900.3 Questioned cost. In the DOL, in addition to the guidance contained in 2 CFR 200.84, a Questioned cost means a cost that is questioned by an auditor, Federal Project Officer, Grant Officer, or other authorized Awarding agency representative because of an audit or monitoring finding: * * * * * 0 4. Revise Sec. 2900.5 to read as follows: Sec. 2900.5 Federal awarding agency review of merit of proposals. In the DOL, audits and monitoring reports containing findings, issues of non-compliance or questioned costs are in addition to reports and findings from audits performed under Subpart F--Audit Requirements of 2 CFR 200 or the reports and findings of any other available audits. (See 2 CFR 200.205(c)(4)) 0 5. Revise Sec. 2900.7 to read as follows: Sec. 2900.7 Payment. In addition to the guidance set forth in 2 CFR 200.305(b), for Federal awards from the Department of Labor, the non-Federal entity should liquidate existing advances before it requests additional advances. 0 6. Revise Sec. 2900.13 to read as follows: [[Page 81441]] Sec. 2900.13 Intangible property. In addition to the guidance set forth in 2 CFR 200.315(d), the Department of Labor requires intellectual property developed under a competitive Federal award process to be licensed under a Creative Commons Attribution license. This license allows subsequent users to copy, distribute, transmit and adapt the copyrighted work and requires such users to attribute the work in the manner specified by the recipient. 0 7. Revise Sec. 2900.15 to read as follows: Sec. 2900.15 Closeout. In addition to the guidance set forth in 2 CFR 200.343(b), for Federal awards from the Department of Labor, the non-Federal entity must liquidate all obligations and/or accrued expenditures incurred under the Federal award. For non-Federal entities reporting on an accrual basis and operating on an expenditure period, unless otherwise noted in the grant agreement, the only liquidation that can occur during closeout is the liquidation of accrued expenditures (NOT obligations) for goods and/or services received during the grant period. 0 8. Revise Sec. 2900.16 to read as follows: Sec. 2900.16 Prior written approval (prior approval). In addition to the guidance set forth in 2 CFR 200.407, for Federal awards from the Department of Labor, the non-Federal entity must request prior written approval which should include the timeframe or scope of the agreement and be submitted not less than 30 days before the requested action is to occur. Unless otherwise noted in the grant agreement, the Grant Officer is the only official with the authority to provide prior written approval (prior approval). Items included in the statement of work or budget as awarded does not constitute prior approval. 0 9. Amend Sec. 2900.20 by revising the introductory text to read as follows. Sec. 2900.20 Federal Agency Audit Responsibilities. In the DOL, in addition to 2 CFR 200.513, the department employs a collaborative resolution process with non-federal entities. * * * * * 0 10. Revise Sec. 2900.21 to read as follows: Sec. 2900.21 Management decision. In the DOL, ordinarily, a management decision is issued within six months of receipt of an audit from the audit liaison of the Office of the Inspector General and is extended an additional six months when the audit contains a finding involving a subrecipient of the pass-through entity being audited. The pass-through entity responsible for issuing a management decision must do so within twelve months of acceptance of the audit report by the FAC. The auditee must initiate and proceed with corrective action as rapidly as possible and should begin corrective action no later than upon receipt of the audit report. (See 2 CFR 200.521(d)) Signed at Washington, DC, this 23rd day of December, 2015. Thomas E. Perez, Secretary, U.S. Department of Labor. [FR Doc. 2015-32725 Filed 12-29-15; 8:45 am] BILLING CODE 4510-FM-P
![Federal Register / Vol. 80, No. 250 / Wednesday, December 30, 2015 / Rules and Regulations 81441
§ 2900.13 Intangible property. finding involving a subrecipient of the ADDRESSES: Docket: The docket, which
In addition to the guidance set forth pass-through entity being audited. The includes Federal Register notices,
in 2 CFR 200.315(d), the Department of pass-through entity responsible for public meeting attendee lists and
Labor requires intellectual property issuing a management decision must do transcripts, comments, and other
developed under a competitive Federal so within twelve months of acceptance supporting documents/materials, is
award process to be licensed under a of the audit report by the FAC. The available for review at regulations.gov.
Creative Commons Attribution license. auditee must initiate and proceed with All documents in the docket are listed
This license allows subsequent users to corrective action as rapidly as possible in the regulations.gov index. However,
copy, distribute, transmit and adapt the and should begin corrective action no some documents listed in the index,
copyrighted work and requires such later than upon receipt of the audit such as those containing information
users to attribute the work in the report. (See 2 CFR 200.521(d)) that is exempt from public disclosure,
manner specified by the recipient. Signed at Washington, DC, this 23rd day of
may not be publicly available.
■ 7. Revise § 2900.15 to read as follows: December, 2015. A link to the docket Web page can be
found at DOE’s rulemaking Web page at:
Thomas E. Perez,
§ 2900.15 Closeout. https://www1.eere.energy.gov/buildings/
Secretary, U.S. Department of Labor. appliance_standards/rulemaking.aspx
In addition to the guidance set forth
[FR Doc. 2015–32725 Filed 12–29–15; 8:45 am] ?ruleid=119. This Web page will contain
in 2 CFR 200.343(b), for Federal awards
from the Department of Labor, the non- BILLING CODE 4510–FM–P a link to the docket for this document
Federal entity must liquidate all on the www.regulations.gov site. The
obligations and/or accrued expenditures www.regulations.gov Web page will
incurred under the Federal award. For DEPARTMENT OF ENERGY contain simple instructions on how to
non-Federal entities reporting on an access all documents, including public
accrual basis and operating on an 10 CFR Parts 429 and 431 comments, in the docket.
expenditure period, unless otherwise For further information on how to
noted in the grant agreement, the only [Docket No. EERE–2014–BT–TP–0055] review the docket, contact Ms. Brenda
liquidation that can occur during Edwards at (202) 586–2945 or by email:
closeout is the liquidation of accrued RIN 1904–AD41 Brenda.Edwards@ee.doe.gov.
expenditures (NOT obligations) for FOR FURTHER INFORMATION CONTACT:
Energy Conservation Program: Test Mr. James Raba, U.S. Department of
goods and/or services received during Procedures for Commercial Prerinse
the grant period. Energy, Office of Energy Efficiency
Spray Valves and Renewable Energy, Building
■ 8. Revise § 2900.16 to read as follows:
AGENCY: Office of Energy Efficiency and Technologies Office, EE–5B, 1000
§ 2900.16 Prior written approval (prior Renewable Energy, Department of Independence Avenue SW.,
approval). Energy. Washington, DC 20585–0121.
In addition to the guidance set forth Telephone: (202) 586–8654. Email:
ACTION: Final rule.
in 2 CFR 200.407, for Federal awards commercial_pre-rinse_spray_valves@
from the Department of Labor, the non- SUMMARY: On June 23, 2015, the U.S. ee.doe.gov.
Federal entity must request prior Department of Energy (DOE) issued a Ms. Johanna Jochum, U.S. Department
written approval which should include notice of proposed rulemaking (NOPR) of Energy, Office of the General
the timeframe or scope of the agreement to amend the test procedure for Counsel, GC–33, 1000 Independence
and be submitted not less than 30 days commercial prerinse spray valves. That Avenue SW., Washington, DC 20585–
before the requested action is to occur. proposed rulemaking serves as the basis 0121. Telephone: (202) 287–6307.
Unless otherwise noted in the grant for this final rule. Specifically, this final Email: Johanna.Jochum@hq.doe.gov.
agreement, the Grant Officer is the only rule incorporates by reference relevant SUPPLEMENTARY INFORMATION: This final
official with the authority to provide portions of the latest version of the rule incorporates by reference into part
prior written approval (prior approval). industry testing standard from the 431 the following industry standard:
Items included in the statement of work American Society for Testing and ASTM Standard F2324–13, (‘‘ASTM
or budget as awarded does not Materials (ASTM) Standard F2324–13, F2324–13’’), Standard Test Method for
constitute prior approval. ‘‘Standard Test Method for Prerinse Prerinse Spray Valves, approved June 1,
■ 9. Amend § 2900.20 by revising the Spray Valves,’’ including the procedure 2013.
introductory text to read as follows. for measuring spray force. This final Copies of ASTM Standard F2324–13
rule also adopts a revised definition of can be obtained from ASTM
§ 2900.20 Federal Agency Audit International, 100 Barr Harbor Drive,
Responsibilities.
‘‘commercial prerinse spray valve,’’
clarifies the test procedure for products West Conshohocken, PA 19428, or by
In the DOL, in addition to 2 CFR going to http://www.astm.org/Standard/
with multiple spray settings, establishes
200.513, the department employs a standards-and-publications.html.
rounding requirements for flow rate and
collaborative resolution process with See section IV.M. for additional
spray force measurements, and removes
non-federal entities. information about this standard.
irrelevant portions of statistical methods
* * * * * for certification, compliance, and Table of Contents
■ 10. Revise § 2900.21 to read as enforcement.
follows: I. Authority and Background
DATES: The effective date of this rule is A. General Test Procedure Rulemaking
mstockstill on DSK4VPTVN1PROD with RULES
§ 2900.21 Management decision. January 29, 2016. The final rule changes Process
In the DOL, ordinarily, a management will be mandatory for representations II. Summary of the Final Rule
decision is issued within six months of starting June 27, 2016. The III. Discussion
A. Definitions
receipt of an audit from the audit liaison incorporation by reference of certain 1. Commercial Prerinse Spray Valve
of the Office of the Inspector General material listed in this rule is approved 2. Spray Force
and is extended an additional six by the Director of the Federal Register B. Industry Standards Incorporated by
months when the audit contains a as of January 29, 2016. Reference
VerDate Sep<11>2014 16:09 Dec 29, 2015 Jkt 238001 PO 00000 Frm 00003 Fmt 4700 Sfmt 4700 E:\FR\FM\30DER1.SGM 30DER1](https://thefederalregister.org/doc/80_FR_81689/page/3.svg)
Document Created: 2015-12-30 03:16:06
Document Modified: 2015-12-30 03:16:06
| Category | Regulatory Information | |
| Collection | Federal Register | |
| sudoc Class | AE 2.7: GS 4.107: AE 2.106: | |
| Publisher | Office of the Federal Register, National Archives and Records Administration | |
| Section | Rules and Regulations | |
| Action | Final rule; technical amendment. | |
| Contact | Adele Gagliardi, Administrator, Office of Policy Development and Research (OPDR), at 202-693-3700 (voice); or 202-693-2766 (facsimile). These are not toll-free numbers. | |
| FR Citation | 80 FR 81439 | |
| RIN Number | 1205-AB71 | |
| CFR Associated | Accounting; Administrative Practice and Procedure; Appeal Procedures; Auditing; Audit Requirements; Cost Principles; Grant Programs; Grant Programs-Labor; Grants Administration; Labor and Reporting and Recordkeeping Requirements |
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