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MONEY!Conventional Weapons Destruction 

Funding & Grants

Jerry GuilbertResource Management Chief

PM/WRA

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Budget Trends & Outlook

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FY 2012

$150M Appropriated

FY 2013

$142.4M post‐sequester

FY 2014

$152.5M‐ish

Final allocations TBD

FY 2015

$127.6M requested 

(16% below FY 2014)

2012 2013 2014  2015

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Why Does it Take So LongTo Get My Money?!

Funds Appropriated!

“653(a) Report” Accepted by Congress?•Required by section 653(a) of Foreign Assistance Act

•Comprehensive foreign assistance roadmap, country‐by‐country

Operational Plans Approved?•Detailed foreign assistance plan for all foreign assistance programs in all countries

Spend plan required?•Not all countries need one

•Check appropriation!

Congressional Notification Required?•All “special notification countries”

•Differences  between  planned spending and “Congressional Budget Justification”

Other Country‐specific Hurdles?•Appropriations include restrictions, reporting requirements, and waiver procedures for various countries

•Vary year‐to‐year

Ready to Place on Grants and Cooperative Agreements! 3

COUNTRYSPECIAL 

NOTIFICATION COUNTRY?

SPEND PLAN REQUIRED?

FISCAL TRANSPARENCY 

WAIVER REQUIRED*?

OTHER ISSUES/RESTRICTIONS

Afghanistan X X Default on U.S. Loans

Algeria TIP Tier 3 Country

Azerbaijan Nagorno‐Karabakh Determination/Waiver

Bahrain X N/A

Bolivia X N/A

Burma X Numerous Restrictions Requiring Notwithstanding Auth.

Cambodia X N/A

Colombia X N/A

Cuba X Numerous Restrictions Requiring Notwithstanding Auth.

DRC TIP Tier 3 Country

Ecuador X N/A

Egypt X X Check with Desk

Ethiopia X Military and Police Assistance Certification and Report Check with Desk

Guatemala X Check with Desk

Guinea‐Bissau TIP Tier 3 Country

Haiti X X Check with Desk

Honduras X N/A

Iran X Numerous Restrictions Requiring Notwithstanding Auth.

Iraq X X N/A

Lebanon X X Terrorist Control of Armed Forces

Libya X X Cooperation with Benghazi Investigation ReportProhibition on Infrastructure Assistance Projects

TIP Tier 3 Country

Mexico X Check with Desk

Nepal Check with Desk

Pakistan X X Dr. Shakil Afridi ReportCheck with Desk 

Russia X TIP Tier 3 Country Check with Desk 

FY 2014 Restrictions & Other Legal Requirements

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FY 2014 Restrictions & Other Legal Requirements

COUNTRYSPECIAL 

NOTIFICATION COUNTRY?

SPEND PLAN REQUIRED?

FISCAL TRANSPARENCY 

WAIVER REQUIRED*?

OTHER ISSUES/RESTRICTIONS

Serbia X N/ASomalia X Default on U.S. LoansSouth Sudan X 15% Withholding on Democratic Institutions & Human Rights 

ReportSri Lanka X N/A

Sudan X Prohibition on Assistance to Government of SudanNumerous Restrictions Requiring Notwithstanding Auth.

Syria X Numerous Restrictions Requiring Notwithstanding Auth.

Tunisia X N/AUzbekistan X Progress on Human Rights & Related Issues Report

TIP Tier 3 CountryVenezuela X Check with DeskWest Bank & Gaza X Security Assistance Benchmark Report

Prohibitions on Supporting Palestinian StatehoodTerrorism‐related Provisions

Prohibitions on Supporting Palestinian AuthorityYemen X X TIP Tier 3 Country

Terrorist Control of Armed ForcesZimbabwe X TIP Tier 3 Country

Default on U.S. Loans (Requires Notwithstanding Auth.)Reestablishing Rule of Law Report

*Fiscal Transparency restrictions stripped from FY 2014 appropriation; no fiscal transparency waivers required for any country.

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The Full Picture:State Department Budget Process

PM/WRA Forecasting

(Fall/Early Winter)

PM/WRA Recommendations

(January)

Mission Resource Requests(March)

Bureau Resource Requests(May)

Director of U.S. Foreign Assistance 

Review(May – June)

Deputy Secretary Consideration

(July)

Secretary’s Decision(August)

White House Deliberation(September)

White House  “Passback”(November)

President’s Budget Request (February)

Congressional Debate

Appropriation

653(a) ReportSpend Plans, 

Waivers, Op PlansCongressional Notification

Give Money to Implementers!

Appeal Appeal

Appeal

Appeal

Appeal

Appeal

High degree of WRA influence Moderate degree of WRA influence Limited/no WRA influence

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Grants: Who’s Who?

Grants Officer (GO)

Has signature authority to award, amend, and terminate

Approves budgets, cost amendments, extensions, scope changes, and final property disposition

Retains ultimate grant responsibility

Grants Officer Representative (GOR)

Serves as the GO’s eyes & ears on grant implementation

Verifies  effective and efficient management of U.S. funds , and ensures compliance with terms and conditions.  

Provides recipients with technical direction, reviews all financial and programmatic reports, answers questions, and negotiates prospective awards and amendments.

Grants Technical Monitor (GTM)

Assists the GOR with oversight, evaluation, and reporting requirements.

Provides recommendations to the GOR and GO but can’t issue directions.

Program Manager (PM)

A job title in PM/WRA associated with managing CWD programs in a particular geographic or functional portfolio

Not a formal grant role, though most GORs and GTMs are also program managers

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Notice of Grant Award (NGA)

Terms and Conditionso Standard Domestic/Overseas (as specified)o Bureau‐specifico OMB Circulars and CFR (as specified)

Statement of Work/Statement of Objectives (Attachment A)

Leahy Vetting (Attachment B)

SAM.gov Affidavit Statement (Attachment C)

MANPADS Disposal Certificate (Attachment D)

Recipient’s Approved Application

Understand the Entire Grant!

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NGA• Original award or amendment?

• Incremental funds or fully‐funded?

• Box 21 specifies the amount obligated (i.e. cash that will be available for draw‐down in PMS)

• Verify that DUNS and EIN are correct (can hold‐up payments if incorrect!)

NGA• Original award or amendment?

• Incremental funds or fully‐funded?

• Box 21 specifies the amount obligated (i.e. cash that will be available for draw‐down in PMS)

• Verify that DUNS and EIN are correct (can hold‐up payments if incorrect!)

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Standard Overseas Terms and Conditions

Standard Overseas Terms and Conditions

Bureau‐specific Terms and Conditions

Bureau‐specific Terms and Conditions

PM/WRA SPECIFIC REQUIREMENTS

1.  Period of Performance:  April 1, 2011 – March 31, 2012

2.  Substantial Involvement:  None

3.  Pre Award Costs:  Costs incurred from 1 APRIL 2011__ up to date of award if considered otherwise to be allowable are to be part of the award as contemplated by this grant and within the total grant value.

4. Program Income:  None

5. Cost‐Sharing:  See Attachment B, if applicable

6. Sub‐recipients:  If applicable, see Grantee proposal incorporated by reference herein.

7. Acknowledgement of DOS or USG Involvement:  ( )  For awards authorized by the Foreign Assistance Act (FAA) of 1961 or funded by an annual Foreign Operations Appropriations Act (FOAA), the USG should be acknowledged to the extent 

practicable. In all conversations with host nation authorities, 

Terms & Conditions

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Attachment A• Statement of Work (SOW)/ Statement of Objectives (SOO)

• Establishes the grant’s particulars

• Purpose• Goals• Objectives• PM/WRA Expectations• Extent of PM/WRA involvement 

(cooperative agreements)

Attachment A• Statement of Work (SOW)/ Statement of Objectives (SOO)

• Establishes the grant’s particulars

• Purpose• Goals• Objectives• PM/WRA Expectations• Extent of PM/WRA involvement 

(cooperative agreements)

STATEMENT OF OBJECTIVES Under this Grant Agreement (S-PM/WRA-14-GR-XXX), the Department of State, Bureau of Political-Military Affairs, Office of Weapons Removal and Abatement (PM/WRA) will provide a grant of $500,000 to the Recipient for its proposal entitled “Community Based Mine Risk Education.” The Recipient shall provide all services, equipment, and facilities necessary to accomplish the requirements of this grant as specified in detail in its proposal. The Recipient shall implement the program in Lower Slobobia’s six southern provinces. The main objectives and activities of this grant are:

Objective 1: To enhance local mine risk education organizations’ technical ability to deliver effective mine risk education (MRE) to high-risk audiences in Lower Slobobia’s southern provinces.

o Activity 1.1: Design and conduct baseline partner MRE capacity assessments o Activity 1.2: Design a curriculum for technical MRE training for partner

organizations with limited previous exposure to the subject o Activity 1.3: Deliver Workshops to MRE focal points (as chosen by the

organizations) within the partner organizations o Activity 1.4: Conduct Quality Assurance of partner orgnizations’ MRE delivery

in the field throughout the project period o Activity 1.5: Conduct endline partner organization capacity evaluation to measure

the impact of the project

Objective 2: To enhance local MRE providers’ organizational management skills to deliver effective programming.

o Activity 2.1: Design and conduct baseline partner organizational management capacity assessment

o Activity 2.2: Design a curriculum on identified organizational management areas o Activity 2.3: Deliver at least 3 workshops to identified administrative / project

management staff within the partner organizations o Activity 2.4: Conduct “Supportive Supervision” visits to partner organizations to

review uptake of new organizational management competencies o Activity 2.5: Conduct endline partner organization capacity evaluation to measure

impact of the project

The main outputs of grant activity are as follows:

Objective 1: Enhance partner organizations’ technical ability to deliver effective MRE to high-risk audiences in Lower Slobobia: 1) 8 module curriculum delivered over 8 workshops to MRE focal points from partner organizations; 2) 1 MRE map produced showing where partner organizations have worked previously and the highest priority villages to target with MRE, according to quantitative risk profile matrix, selected and shared with MRE Technical Working Groups at national and state levels; 3) 6 partner 11

ATTACHMENT B

Special Award Provision: State Department Leahy Amendment Vetting Requirements Funds provided under this award are subject to Section 620J of the Foreign Assistance Act of 1961, as amended, a provision titled “Limitation on Assistance to Security Forces” (the “Leahy Amendment”). Subsection 620J(a) of that provision states: “(a) In General.—No assistance shall be furnished under this Act [the Foreign Assistance Act] or the Arms Export Control Act to any unit of the security forces of a foreign country if the Secretary of State has credible evidence that such unit has committed gross violations of human rights.” Accordingly, none of the funds under this award may be used to provide training or other assistance to any unit or member of the security forces of a foreign country if the Department of State has credible evidence that such unit or individual has committed gross violations of human rights. In signing this agreement, the Recipient agrees to exercise due diligence to ensure compliance with the Leahy provision and State Department policy, and to cooperate with the State Department in implementation of the Leahy requirement for funds under this award. The Department implements the Leahy requirement by vetting units or individuals proposed for training or other assistance to check for credible evidence of gross violations of human rights by such units or individuals. To facilitate State Department vetting, the Recipient must provide the following information for proposed participants at least sixty (60) days prior to commencing award activities. This information should be submitted to the U.S. Embassy in the country where the award will be implemented in order to initiate Leahy vetting procedures: Information needed: Full name, date of birth, country of birth, country of citizenship, gender, rank, title, and organizational affiliation. Please also include the activity and date that the activity will take place—if the person will participate throughout an extended program, please note the timeframe. Participant information should be submitted in the format attached. Information required for “security forces” personnel: The above information is needed for each member of a foreign police or military unit (security forces, broadly defined) who will participate in any activity under this award. This includes both civilian and military employees of security forces participating in any activities funded under this award, including training, workshops or meetings, conferences, or other activities. The Recipient must collaborate with the relevant U.S. Embassy on a case-by-case basis to determine if the Leahy requirement applies to specific activities or proposed participants. Individuals who are not members of the security forces but who participate in activities under the award (e.g., politicians, academics, etc.) generally do not need to be vetted. Submission Deadline: Each candidate must be cleared under Leahy vetting in advance of participation in activities funded under this award. The vetting process typically takes approximately one month, but may take longer if there are a large number of candidates or if issues arise. Thus, all information on proposed candidates must be received by the Embassy at least sixty (60) days in advance of the training event or other activity. The Recipient agrees that it will not include any security forces candidate in training or other activities funded under this award until the State Department advises that the candidate has cleared Leahy vetting and is approved for participation.

Attachment B• Leahy Vetting

• Assisting host government security forces?

• If yes, must vet units/ individuals for human rights abuses

• Vetting handled through the U.S. Embassy

• “Assistance” defined broadly

Attachment B• Leahy Vetting

• Assisting host government security forces?

• If yes, must vet units/ individuals for human rights abuses

• Vetting handled through the U.S. Embassy

• “Assistance” defined broadly

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Attachment C• SAM.gov affidavit

• Certification that no principals, key personnel, or subrecipients are “excluded parties” listed on SAM.gov

• “Excluded parties” include:• Terrorists• Sanctioned Entities• Criminals• Entities otherwise prohibited 

from receiving U.S. funds

Attachment C• SAM.gov affidavit

• Certification that no principals, key personnel, or subrecipients are “excluded parties” listed on SAM.gov

• “Excluded parties” include:• Terrorists• Sanctioned Entities• Criminals• Entities otherwise prohibited 

from receiving U.S. funds

ATTACHMENT C

AFFIDAVIT STATEMENT

SYSTEM FOR AWARD MANAGEMENT (SAM.gov) PRINCIPALS CERTIFICATION for PM/WRA SUBRECIPIENTS

I confirm that all principals of (Name of Company/Organization) have been searched through the System for Award Management, SAM.gov, which can be accessed through the following link: https://www.sam.gov/portal/public/SAM/.

A “principal”/official is defined as:

a. An officer, director, owner, partner, principal investigator, or other person with management or supervisory responsibilities related to a covered transaction; or

b. A consultant or other person, whether or not employed by the participant or paid with Federal funds, who— i. Is in a position to handle Federal funds;

ii. Is in a position to influence or control the use of those funds; or, iii. Occupies a technical or professional position capable of

substantially influencing the development or outcome of an activity required to perform the covered transaction.

The tenderer is responsible for checking the SAM.gov list and ensuring that their organization’s “principals”/officials are not on the list. According to 2CFR180.303, organizations receiving U.S. government funding are prohibited from entering into a covered transaction with OFAC-listed listed Specially Designated Nationals or other persons listed in SAM.gov. If it is determined that the above statements are not accurate, I agree that the tenderer may be found in noncompliance with 2CFR180.303 and barred from entering into a subaward or subcontract with PM/WRA funds. Further, I acknowledge that any falsified statement pertaining to the above listed information is a violation of Title 18 United States Code Section 1001 and is punishable by fine and or imprisonment of up to five years. Name and Surname: __________________________ Duly authorized to sign this tender: Signature: __________________________ Place and date: __________________________ Stamp of the Company/Organization (if applicable): 13

Attachment D

MANPADS DISPOSAL CERTIFICATE Date of destruction: Place of storage: Place of destruction: Date de la destruction : Lieu de stockage : Lieu de la destruction Authority that certifies and guarantees the disposal: Autorité ayant réalisé et certifiant la destruction :

Position

Function: Organization:

LIST OF DESTROYED ITEMS AND RELATED INFORMATION Liste des items détruits Those items were destroyed by:

On (date):

Ces items ont été remis par : Le

Signatures:

MANPADS TYPE /

désignation

COUNTRY of

ORIGIN

MARKING Comments PHOTOGRAPHIC REFERENCE (each item) ITEM TYPE

Tube line 1

Tube line 2

Tube line 3

Tube line 4

Tube line 5

Tube line 6

Tube line 7

Tube line 8

Tube line 9

1

Serial Number :

Serial Number :

2

Serial Number :

Serial Number :

3

Serial Number :

Serial Number :

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Get Prior GO Approval For:

• Expending grant funds on activities not covered in the existing agreement

• Revising objectivesScope Changes

• Shifting funds between direct cost lines exceeding 10% of total grant value

• Expending funds in excess of approved budgets

• Revising indirect cost rates

Budget/Funding Amendments

• Even if no additional funding needed!Period of Performance 

Changes

• Replacing key personnel

• Key personnel absences exceeding three months

• Reduction in key personnel time by 25% or moreKey Personnel Moves

• Subawards not broken‐down in the recipient’s approved application

• Changes to previously‐approved subawardsSubawards

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Some Key Considerations

No Cost Extensions (NCEs) Aren’t Automatic!

•Should make every effort to expend all funds within allotted timeframe

Provide Detailed Budgets (all international travel and personnel costs included)

•Don’t forget budget narratives !

•Need details for all subawards too

Read and Understand the Terms & Conditions

•Standard Overseas and Bureau‐specific Ts & Cs

•OMB Circulars & CFR

Comply with Branding Requirements (“Show the Flag!”)

•Some exemptions apply (consult the GOR)

Timely Reporting & Accurate Documentation

•PMS payments not authorized if reports missing

•Document all expenditures, especially when dealing in cash!!!

Timely Closeout

•It’s Required!

•Allows PM/WRA to “recycle” remaining funds

Maintain Property Records & Obtain Disposition Instructions from GO & GOR

Communicate Significant Events to GOR & GTM

•We HATE surprises!16

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Follow the Rules –There Could be Consequences!

Disallowed Costs“High Risk” Designation

Prohibition on Advance Payments

Corrective Action Plan

AuditsLoss of Future 

Funding

Office of Inspector General (OIG) Investigation

Suspension or Debarment

Jail!

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The “SuperCircular”is Coming!!!

• December 26, 2014

When?

• Any grant awarded/amended from December 26 onward is subject

Who and What?

• Simplifies grants rules by consolidating all OMB circulars and CFR entries

Why?

• No negotiated indirect cost rate agreement (NICRA)?  Can’t charge more than a 10% indirect cost rate!

• All terms and conditions pass through to subrecipients ‐ no exceptions

• Recipients must inform the GOR and GO of problems and delays which will impair their ability to meet award objectives

Major Points

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To subscribe, contact:

Chris MurgiaProgram AnalystPM/WRAMurguiaCE@state.gov+1‐202‐663‐0346

To subscribe, contact:

Chris MurgiaProgram AnalystPM/WRAMurguiaCE@state.gov+1‐202‐663‐0346

Grants Questions?

Tom KodiakSenior Grants OfficerPM/WRAKodiakT@state.gov+1‐202‐663‐0091

Grants Questions?

Tom KodiakSenior Grants OfficerPM/WRAKodiakT@state.gov+1‐202‐663‐0091

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MONEY!CWD Funding & Grants

Questions???

Thank You!

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MONEY!CWD Funding & Grants

BACKUP SLIDES

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2012 2013 2014  2015 2016

Activities Directly Serving U.S. Interests

SA/LW Programs that Protect U.S. and Allies

• Keep bad guys from getting bad stuff

• Prevent instability  likely to entail larger U.S. response

Remediating U.S.‐caused Explosive Remnants of War 

(ERW)

Complementing Broader Foreign Policy Priorities, including:

• Syria‐related response

•Ukraine

• Colombia

Activities Serving Primarily Humanitarian 

Interests

HMA where Heavy Contamination Intersects with High Casualty Rates

SA/LW Programs that:

• Prevent localized violence

• Prevent catastrophic  unplanned munitions explosions

Global Capacity Development

Enhancing World‐wide CWD Implementation

Improving International Standards

Program Administration

Program‐related Travel

Program Management Staffing Support

Administrative fees

NADR‐CWD Priorities

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FY 2015 NADR‐CWD ProgramsDirect U.S. Interest ‐ SA/LW

Direct U.S. Interest ‐ HMA

23Small Program (less than $1M) Medium Program ($1M ‐ $9M) Large Program ($9M +)

Colombia

Libya

Iraq

Somalia

DRCAF Great Lakes

Laos

Vietnam

Cambodia

Pacific Islands

Global MANPADS Threat Reduction

Direct U.S. Interest – Broader Foreign Policy

Primarily Humanitarian ‐ SA/LW

Primarily Humanitarian ‐ HMA

Angola

South Sudan

Mozambique

Senegal

Zimbabwe

Burma

Albania Armenia Azerbaijan

BulgariaGeorgia

Ukraine

SerbiaBosnia

Croatia

Afghanistan

Jordan

SyriaLebanonWest Bank

Yemen

Sri Lanka

Tajikistan

Kyrgyz Republic

CWD Funding:Did you know. . . ?

It’s two‐year funding

• PM/WRA may obligate funds until September 30 of the following year.

It doesn’t last forever

• Funds expire five years after being placed on a grant/contract.

• Funds not drawn‐down at the five‐year mark are returned to Treasury.

You can teach old dogs new tricks

• PM/WRA has four years to reclaim funds remaining on expired grants/contracts, and can use those funds to address current needs.

• Five‐year expiration clock resets upon “reobligation.”

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Why This Matters to You!

PM/WRA Concerns

• Maximizing efficiency and minimizing losses to expiration

• Making the most of old money in a constrained fiscal environment

• Demonstrating progress in meeting current needs

Implications for PM/WRA Business 

Partners

• Limiting no‐cost extensions: no funding extended beyond three years

• Increased scrutiny on inactive money

• New emphasis on closeouts

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Do not use equipment received/procured under a grant for commercial operations.

Keep an up‐to‐date inventory list that includes:  – Estimated purchase price

– Intended use and location

– Description 

– Manufacturer’s serial number, model number, or other identification

– Condition

Do not dispose of any equipment  (items with a purchase price >$5000 and useful life greater than 1 year) without approval from the grants officer 

All personal protective equipment MUST be listed (for example‐MED ENG Vest, Trousers, or Apron).

Multiple items may be lumped together by category

Include separate rows for serviceable and unserviceable equipment

Must be submitted with the Final Report

Managing Grant Property

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Insurance for personnel International Travel – all international travel direct costs must be broken out individually 

by location in order to satisfy Grants Officer prior approval requirements  Travel costs associated with home leave/R&R should be in Fringe Benefits, not in travel Travel Subcategories: International travel and domestic must be separate with specific 

destinations (countries specified in either the narrative or the detailed budget) Cost of benefits for personnel  Professional expenses (if necessary) Audit Expenses Vehicle number and price/vehicle (provide make and type on the budget narrative)  Fuel and Lubricants for vehicles each listed in their own line item Maintenance of vehicles Security Costs Computers and PPE are considered supplies for budget purposes but must be listed on 

the annual inventory list

ALL SUBAWARDS MUST INCLUDE THEIR OWN DETAILED BUDGET.   If it is not available at the time of the proposal, it must be provided and approved of by the Grants Officer before work begins on the subaward.

Budget BreakoutRequirements