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A recent Sensitive But Unclassified State Department Cable provides updated guidance for ongoing (not terminated) foreign assistance programs now that the review has been completed. The waiver requirement (such as it was) has been lifted. Suspensions and stop work orders for ongoing awards are lifted. State’s Senior Bureau Officials (SBOs) must approve any disbursements for expenses incurred by ongoing contracts/grants after this lifting. USAID can pay “legitimate expenses” incurred under awards not terminated and “legitimate shutdown and other costs” for terminated awards. OMB’s review process continues.

Annual reviews will be conducted by SBOs in coordination with DFA to ensure alignment with Trump Administration priorities. Bureaus and offices are also encouraged to work with DFA to “cut, rescope, or consolidate existing awards as needed to ensure efficiency and alignment with policy.”
Here’s the relevant language:
“As a result, neither DFA nor SBO approval is now required for the payment of legitimate expenses incurred under foreign assistance programs prior to February 13 or in connection with SWOs and suspensions issued pursuant to that ALDAC. Such expenses should be paid as soon as possible, as determined by the grants or contract officer or certifying official.

(SBU) Contracting Officers, Grants Officers, and Certifying Officials within the Department will validate 12(d) payments in accordance with 31 U.S. Code Subtitle III Financial Management, ensuring the necessary controls remain in place.”

Read the cable here

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