[Federal Register Volume 88, Number 178 (Friday, September 15, 2023)]
[Notices]
[Page 63591]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2023-19954]


-----------------------------------------------------------------------

DEPARTMENT OF HEALTH AND HUMAN SERVICES


Change in Federal Award Closeout Provisions

AGENCY: Office of the Assistant Secretary for Financial Resources 
(ASFR), Department of Health and Human Services (HHS or the 
Department).

ACTION: Notice.

-----------------------------------------------------------------------

SUMMARY: HHS will follow the Federal award Office of Management and 
Budget (OMB) closeout provisions modified the closeout provisions 
rather than the HHS-specific closeout provisions.

FOR FURTHER INFORMATION CONTACT: Johanna Nestor at 
[email protected] or (202) 631-0420.

SUPPLEMENTARY INFORMATION: 
    Background: In 2014, HHS codified the Uniform Administrative 
Requirements, Cost Principles, and Audit Requirements (UAR) for HHS 
Awards at 45 CFR part 75. 79 FR 75889 (Dec. 19, 2014). This 
codification included HHS-specific language, including the adoption of 
the closeout provisions at 45 CFR 75.381. In 2020, the Office of 
Management and Budget modified the closeout provisions for Federal 
awards at 2 CFR 200.344. 85 FR 49506 (Aug. 13, 2020). These 
modifications:
     Increase the number of days for recipients to submit 
closeout reports and liquidate all financial obligations from 90 
calendar days to 120 calendar days after the end of the period of 
performance.
     Require awarding agencies to complete closeout actions no 
later than one year after the end of the period of performance unless 
otherwise directed by authorizing statutes.
     Require awarding agencies to close out awards within one 
year of the end of the period of performance based on available 
information and report the recipient to the OMB-designated integrity 
and performance system (currently Federal Awardee Performance and 
Integrity Information System (FAPIIS)).
    The HHS-specific closeout provisions at 45 CFR 75.381 are more 
restrictive than 2 CFR 200.344 as modified. This may lead to recipient 
confusion and inconsistencies in closeout timing government-wide. 
Additionally, the different provisions may result in report submission 
delays, which can affect closeout task reconciliation and effective 
completion. Adhering to the 2 CFR 200.344 closeout provisions would 
provide more time for recipient compliance and conform with other 
Federal awarding agencies, thus promoting greater equity and fairness.
    Action: For the reasons stated above, effective October 1, 2023, 
HHS will follow the 2 CFR 200.344 closeout provisions This action will 
minimize the burden on the internal and external grants communities 
while ensuring the timely closeout of HHS awards.

William D. Bell IV,
Deputy Assistant Secretary for Grants.
[FR Doc. 2023-19954 Filed 9-14-23; 8:45 am]
BILLING CODE 4150-24-P