Compliance

Each recipient is responsible for developing, implementing, and monitoring award activities to provide reasonable assurance that awards are administered in compliance with financial and programmatic requirements, including the award‘s standard terms and conditions, American Recovery and Reinvestment Act (ARRA) award terms, and Special Award Conditions (SACs).

These resources provide guidance, Federal regulations, useful references and other information regarding BTOP compliance, Department of Commerce (DOC) grants policies, ARRA guidelines as well as administrative, financial, audit information, and environmental requirements.

Monitoring and Program Oversight
BTOP Compliance
Award Closeout Requirements
Department of Commerce Grants Policy and Guidance
ARRA Guidelines
Uniform Administrative Requirements
Financial Requirements and Cost Principles
Audit Information
Environmental Compliance

Monitoring and Program Oversight

The requirements of the American Recovery and Reinvestment of 2009 (ARRA) demand an unprecedented level of accountability and oversight for federal programs including BTOP. As the awarding agency, it is important for NTIA to implement an effective and rigorous programmatic monitoring process that engages recipients, tracks programmatic and fiscal performance, ensures compliance, mitigates risks and issues, and demonstrates the ability to be accountable to protect taxpayer investments. The overriding goal of BTOP monitoring is to ensure that recipients are in compliance with the terms and conditions of their awards incorporated in their CD-450s; they are progressing toward successful and timely completion of their projects, and the program mitigates the potential for waste, fraud, and abuse. As part of this monitoring process, NTIA staff will perform site visits to evaluate the project's current status and identify potential areas of concern that can be corrected immediately on-site or through the development of a technical assistance plan.

FY12 Monitoring and Assessment Plan (November 2011)
Site Visit Checklist (updated February 2012)
Quick Guide to Understanding Audit Requirements for BTOP Program Recipients (March 2011)

BTOP Compliance

In addition to ARRA compliance requirements, each BTOP grant award recipient is subject to program-specific compliance obligations. These materials contain detailed information on these requirements and provide guidance to ensure the recipient complies with BTOP regulations.

The Notice of Funds Availability (NOFA) issued prior to each round of funding set forth the application requirements and detailed the award’s standard terms and conditions. Each recipient should only refer to the NOFA that corresponds with its award.

NOFA Round 1 (July 9, 2009)
NOFA Round 2 (January 22, 2010)
NOFA Round 2 limited reopening – This is an addendum to NOFA Round 2 and applies only to entities that received waiver authority from the Federal Communications Commission (FCC) to use the 763–768/793–798 Megahertz (700 MHz) public safety broadband spectrum.

For more information on BTOP compliance and ARRA reporting and compliance, refer to the following documents:

BTOP Compliance (November 2010) – Overview of key compliance requirements. Click the box to play video. Access a transcript of the presentation or download the slides

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Award Closeout Requirements

Closeout is the process by which the National Telecommunications and Information Administration (NTIA) and Grants Office determine that the recipient has completed all applicable administrative actions and all required work. Listed below are documents that provide grant recipients with guidance regarding this process and its related requirements.
- Award Notification Package for CCI and PCC/SBA Recipients (June 2013) -- Explains the process and provides a checklist for ensuring that all technical work and administrative requirements have been finalized to complete the BTOP award agreement between the Department of Commerce and the award recipient. Recipient can use this package as they work closely with their Federal Program Officer (FPO) and Grants Officer to verify that all final documentation has been submitted and the project is technically complete.
- Closeout Process Webinar Notes for CCI and PCC/SBA (December 2012) – The Award Closeout Process Webinars focused on defining closeout and stakeholder roles, understanding the timing related to closeout activities, and identifying recipient closeout requirements for grant recipients. Notes from the webinars review the discussion that took place during the webinars, as well as the questions that recipients asked and responses provided by NTIA.
- Closeout Notification Package Required Documentation
  - 424A – (PCC/SBA) Budget Information – Non-Construction Programs
  - 424C – (CCI) Budget Information – Construction Programs
  - 428 – Tangible Personal Property Report
  - 428B – Tangible Personal Property Report, Final Report
  - 428S – Tangible Personal Property Report, Supplemental Sheet
  - 429 – Real Property Status Report
  - BTOP Patent Report
- Closeout Process Webinar for CCI Recipients (March 2013) — Overview of the process for ensuring that all funded project activities are completed, including discussions of the timing related to closeout activities and recipient closeout requirements.
- Closeout Training Webinar for PCC/SBA Recipients (April 2013) — Overview of the process for ensuring that all funded project activities are completed, including discussions of the timing related to closeout activities and recipient closeout requirements. See the Webinar Q&A for questions and answers that were collected during this webinar.
- Closeout Training Webinar for CCI Recipients (April 2013) — Overview of the process for ensuring that all funded project activities are completed, including discussions of the timing related to closeout activities and recipient closeout requirements. See the Webinar Q&A for questions and answers that were collected during this webinar.
- BTOP Treatment of Property During and After Closeout Fact Sheet (March 2014) – Overview of the long-term treatment of tangible personal property (i.e., property other than real property and intangible personal property such as copyrights), and recipients’ ongoing responsibilities for these items.
- Uniform Commercial Code (UCC) Documentation Renewal Process (August 2014) – Checklist to assist recipients in understanding their obligations under the BTOP grant award regarding the UCC renewal process. Typically, states require that UCCs be renewed every 5 years; as such, recipients that have recorded UCC documentation for property with a BTOP useful life of more than 5 years will need to file a renewal of that documentation.
- Closeout Guidance for SBI Recipients (December 2014) – Explains the process and provides a checklist for ensuring that all technical work and administrative requirements have been finalized to complete the SBI award agreement between the Department of Commerce and the award recipient. Recipient can use this package as they work closely with their Federal Program Officer (FPO) and Grants Officer to verify that all final documentation has been submitted and the project is technically complete.
- Closeout Training Webinar for SBI Recipients (December 2014) – Overview of the process for ensuring that all funded project activities are completed, including discussions of the timing related to closeout activities and recipient closeout requirements.
- Ongoing Post-Closeout Requirements (February 2015) – Guidance to help recipients understand their ongoing obligations after their BTOP award is officially closed. As prescribed by award-specific special award conditions and the Department of Commerce’s Uniform Administrative Requirements (UAR), which are incorporated into all BTOP award terms and conditions, recipients have specific requirements that they must adhere to after they receive their official closeout notification from the Grants Office.
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Department of Commerce (DOC) Grants Policy and Guidance

Each recipient must follow certain DOC guidelines and regulations while completing its projects. These documents contain detailed information regarding DOC requirements.
- Pre-Award Notification Requirements – Detailed guidelines regarding DOC’s application review process and key program regulations.
- DOC Standard Terms and Conditions (March 2008) – DOC financial requirements recipients must follow.
- Guidance for Protection of Human Subjects (June 2011) - Procedures and requirements for protection of human subjects participating in federally funded research.
- Guidance Webinar for Protection of Human Subjects (June 2011)
- Guidance for Protection of Human Subjects FAQs (June 2011)– Frequently asked questions about the protection of human subjects participating in federally funded research.
- DOC Guidance on Debarment and Suspension
- Indirect Cost Rates (November 2010)– Fact sheet with overall guidance on indirect cost guidelines.
- Buy American Requirement Fact Sheet (March 2012) – Overview of the Buy American requirement applicable to all BTOP recipients.
- Buy America Limited Waiver – Notice explaining the Department of Commerce’s limited waiver of the Buy America Requirement (section 1605 of ARRA).
- Federal Interest Requirements Fact Sheet (updated July 2011) – Overview of Federal interest requirements applicable to all BTOP recipients.
- Useful Life Schedule Fact Sheet – List of equipment and building types and their corresponding estimated useful life.
- Sale/Lease Restriction, Indefeasible Rights-of-Use, and Fiber Swaps Fact Sheet (August 2013)- Guidance on the sale or lease of award-funded broadband facilities or equipment during their useful life, including information on IRUs and fiber swaps.
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ARRA Guidelines

Each BTOP recipient is required to comply with all applicable ARRA guidelines. These documents contain detailed information regarding these requirements.
- Department of Commerce Recovery Act Site
- Department of Commerce ARRA Award Terms and Conditions, May 2009 – Reporting and Registration Requirements under Section 1512 of the American Recovery and Reinvestment Act of 2009.
- Report fraud, waste, or abuse to the Department of Commerce’s Inspector General.
- DOC Office of the Inspector General (OIG), Recovery Act Oversight Program: Fraud Prevention Training – This e-training presentation provides an overview of the DOC OIG, how to identify fraud, fraud prevention tips, and practice scenarios.
- Recovery Act: Webinar Training Materials
- OMB M-10-14: Updated Guidance on the American Recovery and Reinvestment Act – This Memorandum provides guidance to Federal agencies and recipients intended to clarify previous guidance.
- OMB M-10-08: Updated Guidance on the American Recovery and Reinvestment Act – Data Quality, Non-Reporting Recipients, and Reporting of Job Estimates.
- OMB M-10-05: Improving Compliance in Recovery Act Recipient Reporting
- OMB M-9-21: Implementing Guidance for the Reports on Use of Funds Pursuant to the American Recovery and Reinvestment Act of 2009
- OMB M-9-19: Guidance on Data Submission under the Federal Funding Accountability and Transparency Act – This guidance defines award reporting requirements necessary to comply with both the Federal Funding Accountability and Transparency Act (FFATA) and ARRA.
- Davis-Bacon Requirements Fact Sheet (updated July 2012) – Explains ARRA requirement that BTOP grant award recipients, subrecipients, contractors, and subcontractors comply with Davis-Bacon Act wage requirements.
- Davis-Bacon Compliance Checklist (April 2012) – This checklist provides an overview of the requirements established by the Davis-Bacon Act.
- Davis-Bacon “Make-Ready Work” Guidance Letter – Explains when “Make-Ready Work” should follow Davis-Bacon labor standards.
- Video Presentation for Davis-Bacon Act Overview Webinar for NTIA-Commerce and USDA-RUS Broadband Grantees (March 2011) posted at http://www.dol.gov/whd/video/DBAct_Broadband.wmv - Video presentation (.wmv format) from the Department of Labor's (DOL) Information Related to the America Recovery and Reinvestment Act of 2009 web page. Provides an overview of the Davis-Bacon Act regulations and labor standards for broadband grantees (No text transcript or equivalent material has been provided by the Department of Labor). To download the presentation slides click here.
- Davis-Bacon Act States Wage Determinations Worksheet (March 2011)
- Davis-Bacon Poster
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Uniform Administrative Requirements

Uniform Administrative Requirements outline basic recipient requirements to receive, administer, and comply with Federal awards. Note that each recipient must follow the uniform administrative requirements applicable to its type of organization.

For commercial and non-profit organizations, hospitals, and institutions of higher education:
- 15 CFR Part 14 for Institutions of Higher Education, Hospitals, Other Non-Profit and Commercial Organizations
For state, local, and Indian tribal governments:
- 15 CFR Part 24 for State, Local and Indian Tribal Governments
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Financial Requirements and Cost Principles

To ensure grant funds are properly used, each recipient should become familiar with Federal regulations specifying the financial requirements and cost principles applied to all Federal grants.

Financial Requirements
- Non-Duplication of E-Rate Funding Fact Sheet (June 2011) – Guidance regarding unjust enrichment and duplication issues that may arise for BTOP recipients that receive E-Rate funds from the Universal Service Administrative Company (USAC).
- Recipient and Third-Party In-Kind Contributions Fact Sheet (updated December 2011) - Overview of the recipient and third party in-kind contributions requirement applicable to all BTOP recipients.
- Program Income Fact Sheet (January 2012) – General guidance on the appropriate calculation, use, management, and reporting of program income under BTOP.
- Match Documentation Fact Sheet - General guidance regarding requirements for documenting the matching share applicable to BTOP recipients.
Cost Principles
Note that each recipient must follow the cost principle applicable to its type of organization.
For institutions of higher education:

For state, local, and Indian Tribal governments:

For non-profit organizations:
- OMB Circular A-122 Cost Principles for Non-Profit Organizations (05/10/2004), also codified at 2 CFR Part 230
For commercial organizations:
- Federal Acquisition Regulation (FAR) cost principles, 48 CFR Part 31, Subpart 31.2 – Contracts with Commercial Organizations (Applicable to For-Profit Entities).
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Audit Information

All BTOP awards are subject to audit by the Department of Commerce’s Office of the Inspector General as outlined in Office of Management and Budget’s (OMB) Circular A-133. Materials on this page provide information on Federal requirements and regulations related to audits as well as additional guidance on how the recipient can prepare for and meet audit requirements.
- Practical Audit Guidelines Training Webinar for PCC/SBA and CCI Recipients (March 2013) – Overview of the audit requirements, as well as the process for BTOP grants and the associated audit findings. See the Webinar Q&A for questions that were collected during this webinar.
- OMB Circular A-133, Audits of States, Local Governments and Non-Profit Organizations – This Circular sets forth standards for obtaining consistency and uniformity among Federal agencies for the audit of states, local governments, and non-profit organizations expending Federal awards.
- OMB Circular A-133, Subpart B, Section_.235, Program-Specific Audits – This subpart of OMB Circular A-133 sets forth the requirements specific to commercial organizations. To view these requirements, click on the “Subpart B – Audits” link in the Bookmarks on the left side bar.
- Program-Specific Audit Guidelines for BTOP (updated May 2012) – These guidelines apply only to BTOP for-profit Auditees. Non-profit organization, State/tribal/local government, and university Auditees are subject to the Single Audit Act and must follow OMB Circular A-133 and the Circular A-133 Compliance Supplement. These guidelines are not applicable to Rural Utilities Service (RUS) awards.
- Changes Guide – Program-Specific Audit Guidelines (updated June 2012) - This document outlines the additions and revisions made for the BTOP Program-Specific Audit Guidelines. Audits initiated after May 31, 2012 will follow this version of the Audit Guidelines.
- Quick Guide to Understanding Audit Requirements for BTOP Program Recipients (March 2011)
- Single Audit Basics for Grant Recipients
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Environmental Compliance

All BTOP grants must comply with the National Environmental Policy Act (NEPA) and the National Historic Preservation Act (NHPA). NEPA requires one of several possible levels of environmental review to assess environmental impacts of proposed projects funded by the award. The level of environmental review required under NEPA was determined during NTIA’s application review, and if an environmental assessment (EA) is required, details were provided in the award package.

BTOP Environmental Requirements Guidance

Pre-Award
Post-Award
- National Environmental Policy Act Compliance (September 2010)
- EA Guidance for Recipients (updated August 2010)
- Historic Preservation Section 106 Guidance for Recipients (updated September 2010)
- Endangered Species Section 7 Guidance for Recipients
- Navigating the Environmental Assessment Consultation (February 2011)
Environmental Laws and Regulations

There are additional environmental laws, regulations, and Executive Branch policies that Federal agencies and recipients of Federal grant awards must comply with include the following:
- Clean Air Act (CAA)
- Coastal Zone Management Act (CZMA)
- Endangered Species Act (ESA)
- National Historic Preservation Act (NHPA)
- Executive Order 11514, Protection and Enhancement of Environmental Quality, as amended by Executive Order 11991, Relating to Protection and Enhancement of Environmental Quality.
- Executive Order 11990, Protection of Wetlands.
- Executive Order 12898, Federal Actions to Address Environmental Justice in Minority Populations and Low-Income Populations.
- Executive Order 13089, Coral Reef Protection.
- Executive Order 13514, Federal Leadership in Environmental, Energy, and Economic Performance.
Other Sites and Helpful Resources:
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Compliance