From: Michelle D Christy [mailto:mchristy@MIT.EDU]
Sent: Tuesday, April 22, 2014 5:37 PM
To: ra_ls; email@example.com
Subject: Federal Government Issues New Uniform Guidance - Goes into Effect December 2014 - Will Impact all Federal Awards
Dear Colleagues -
We are writing to make you aware of some new federal regulations governing federal grants and contracts and MIT’s plans for responding to these new requirements.
On December 26, 2013, after a multi-year process of rule drafting and public comment, the Federal Office of Management and Budget (OMB) released “Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards.” Effective December 26, 2014, this final guidance supersedes and streamlines requirements currently found in eight separate OMB guidance circulars into one consolidated set of guidance in the code of Federal regulations. The full text of the guidance can be found at 2 CFR Chapter 1, Chapter II, Part 200, et al
The goal of this reform is to deliver on the President's directives to (1) streamline guidance for Federal awards to ease administrative burden and (2) strengthen oversight over Federal funds to reduce risks of waste, fraud, and abuse. It is believed that streamlining existing OMB guidance will increase the efficiency and effectiveness of Federal awards to ensure best use of more than $500 billion in annual Federal expenditures.
This reform builds on two years of work by the Federal government and its non-Federal partners: state, and local governments, Indian tribes, institutions of higher education, nonprofit organizations, and the audit community to rethink and reform the rules that govern stewardship of Federal dollars. The revised rules set standard requirements for financial management of Federal awards across the entire Federal government.
MIT has formed a working group, with representation from the Office of the Vice President for Research, the Office of the Vice President for Finance, the Office of Sponsored Programs, and MIT’s Audit Division to review the new regulations, identify changes, and develop implementation and communication plans. We expected to complete a preliminary analysis, etc. by mid-summer and will begin to communicate the results of their review.
We appreciate your understanding and support.
Office of Sponsored Programs
Office of the Vice President for Finance
Office of the Vice President for Research