04/10/2024

OMB Releases Updated Guidance Around Federal Awards

The final guidance goes into effect Oct. 1, 2024

Back in October 2023, the U.S. Office of Management and Budget (OMB) announced it had planned to revise sections of its guidance for grants and agreements. Now, just five months later, a memorandum addressing the changes to the guidance on administering and managing Federal Awards in Title 2 of the Code of Federal Regulation (CFR) has been published.

The approved changes include:

• Increasing the single audit threshold from $750,000 to $1,000,000
• Increasing the de minimis rate from 10 percent to 15 percent
• Increasing the equipment threshold to items over $10,000

The final guidance goes into effect on Oct. 1, 2024 with the option for federal agencies to apply to awards issued prior to Oct. 1, 2024. However, it is still unclear as to which fiscal years will be impacted for auditees. All federal agencies must submit their plans for implementing the revisions by May 15, 2024.

Please select this link to read the complete article from OSAP Partner Clark Schaefer Hackett (CSH).