Restrictions on Use of Federal Funds to Influence Awarding of Federal Grants or Contracts
November 8, 1990
TO: STATE AGENCIES ADMINISTERING THE FOLLOWING GRANT PROGRAMS, AND OTHER INTERESTED INDIVIDUALS:
- Aid To Families With Dependent Children Program Under Title IV-A of the Social Security Act;
- Child Support Enforcement Program Under Title IV-D of the Social Security Act;
- Job Opportunities and Basic Skills Training Program Under Title IV-F of the Social Security Act;
- Low-Income Home Energy Assistance Program Under the Low-Income Home Energy Assistance Act of 1981;
- Refugee Resettlement Program Under the Refugee Act of 1980;
- State Legalization Impact-Assistance Grant Program Under the Immigration Reform and Control Act of 1986;
- U.S. Repatriate Program Under Section 1113 of the Social Security Act and Public Law 86-571;
- Community Services Block Grant Program Under the Community Services Block Grant Act;
- Community Food and Nutrition Program Under the Community Services Block Grant Act;
- Emergency Community Services for the Homeless Program Under the Stewart B. McKinney Homeless Assistance Act of 1987.
SUBJECT:Restrictions on the Use of Federal Funds to Influence the Awarding of Federal Grants, Loans or Contracts.
APPLICABILITY:These restrictions pertain to all Federal funds awarded by this agency either in the form of non-discretionary formula grants or discretionary project grants in excess of $100,000 per year. This Action Transmittal will describe procedures applicable to State agencies receiving non-discretionary awards under the programs cited above. (For discretionary project awards, applicants or grantees requesting Federal funds must complete acertification either at the time of application or prior to the issuance of the award.)
BACKGROUND:Under Section 319 of Public Law 101-121 (the "Department of the Interior and Related Agencies Appropriations Act for Fiscal Year 1990"), Title 31 of the United States Code was amended with the addition of a new Section 1352 entitled, "Limitation on use of appropriated funds to influence certain Federal contracting and financial transactions."
This statute was incorporated into Federal regulations for the Department of Health and Human Services at 45 CFR Part 93 with the Federal Register notice of February 26, 1990 (55 FR 6735 through 6745 and 55 FR 6754). A copy of this Federal Register notice is included as an attachment to this document.
INSTRUCTIONS:Other than specific exceptions noted below, the restrictions on lobbying contained in this statute and regulation will affect every grant award issued by this agency. The effect is to prohibit recipients of Federal contracts, grants or loans from using Federal funds to pay a person to lobby on their behalf with the Executive or Legislative Branch in connection with the award of a specific contract, grant or loan.
The statute requires such recipients to file a statement certifying that they will abide by these restrictions. A copy of this certification statement is included as an attachment to this document.
Further, the recipients of Federal funds must disclose when any such payments are made or anticipated, even where no Federal funds are included in the payments. A copy of the disclosure form to be filed is included as an attachment to this document.
The following definitions are used in conjunction with these requirements:
"Recipient" includes grantees and contractors as well as subawardees at any tier, including persons operating pursuant to a cooperative agreement with the prime grantee.
"Person" includes: (1) an individual, (2) a corporation, (3) a company, (4) an association, (5) an authority, (6) a firm, (7) a partnership, (8) a society, (9) a State or, (10) a local government.
NOTE: The statute specifically excludes Indian tribes and tribal organizations from the definitions of both "recipient" and "person". These grantees are not required to file either the certification or disclosure forms.
The "Executive and Legislative Branches" include: (1) An officer or employee of any agency, (2) A Member of Congress, (3) An officer or employee of Congress, or (4) An employee of a Member of Congress.
Each State must submit a separate annual certification for each program listed above under which it receives at least one award during the year.
An annual certification must be received from each subawardee by the recipient prior to the issuance of any subaward exceeding $100,000 per year. Subawards include subgrants, subcontracts and cooperative agreements.
DATE:These restrictions are effective for Federal funds awarded on or after December 23, 1989.
States are required to file a separate "Certification Regarding Lobbying" pertaining to the Federal funds which were awarded under each program during the period of December 23, 1989 through September 30, 1990, within thirty (30) days of the issuance of this Action Transmittal.
States are required to file a separate "Certification Regarding Lobbying" pertaining to the Federal funds which were and will be awarded under each program during the period of October 1, 1990 through September 30, 1991, within thirty (30) days of the issuance of this Action Transmittal.
For all subsequent fiscal years, a "Certification Regarding Lobbying" will be required prior to the first day of the affected fiscal year.
A disclosure form (SF-LLL) is to be filed at the end of each quarter in which there occurs any event that requires disclosure.
All certifications and disclosure forms should be submitted to:
Family Support Administration
Office of Financial Management
Division of Grants Management
370 L'Enfant Promenade, S.W.
Washington, D.C 20447
ATTACHMENTS:1. "Certification Regarding Lobbying" to be submitted in accordance with the instructions above and the requirements of 45 CFR Part 93.
2. OMB Standard Form LLL, "Disclosure of Lobbying Activities," used to report any lobbying activities by recipients of Federal funds. (Instructions on reverse.)
OMB Standard Form LLL-A, "Disclosure of Lobbying Activities Continuation Sheet".
4. Federal Register notice of February 26, 1990: "New Restrictions on Lobbying; Interim Final Rule."
INQUIRIES TO:FSA Regional Administrators.
Michael L. Sturman
for Financial Management
* Attachments are available in the OCSE Reference center.