DEPARTMENT OF THE INTERIOR
INTRODUCTION
This section contains compliance requirements that apply to more than one program of the Bureau of Indian Affairs (BIA) in the Department of the Interior (DOI) because of requirements set forth in (1) the Indian Self Determination and Education Assistance Act (ISDEAA), as amended, and the Tribally Controlled Schools Act and (2) Section 112 of the Department of the Interior and Related Agencies Appropriations Act, 1998, (Public Law 105-83) regarding the investment and deposit of BIA funds advanced to tribal organizations pursuant to the provisions of the ISDEAA and Tribally Controlled Schools Act of 1988. The compliance requirements in this Cross-Cutting Section reference the applicable programs in Part 4, Agency Compliance Requirements. Similarly, the applicable programs in Part 4 reference this Cross-Cutting Section.
CFDA # Program Name
ISDEAA Programs
15.021 Consolidated
Tribal Government Program
15.022 Tribal Self-Governance
15.030 Indian Law Enforcement
Tribally Controlled Schools Act
15.042 Indian School Equalization Program
I. PROGRAM OBJECTIVES
Title IV of ISDEAA, the Tribal Self-Governance Act, was implemented to establish meaningful Indian self-determination that will permit an orderly transition from the Federal domination of programs for, and services to, Indians to effective and meaningful participation by the Indian people in the planning, conduct, and administration of those programs and services. The Tribally Controlled Schools Act provides a grant process for the operation of schools funded by the BIA.
II. PROGRAM PROCEDURES
The ISDEAA and the Tribally Controlled Schools Act allow tribal organizations to draw down funds in advance of need. The frequency and timing of the drawdowns are set forth in the statutes. The provision for advancing funds is to ensure sufficient capital for the delivery of program services.
The Tribal Self-Governance Act provides for advance payments to tribes and tribal consortia in the form of annual or semi-annual payments at the discretion of the tribes (25 USC 458cc (g)(2)). The ISDEAA provides for payments to Indian tribes and tribal organizations on a quarterly basis, in a lump-sum payment, or as semiannual payments or any other payment method authorized by law with such method as may be requested by the tribe or tribal organization (25 USC 450l(c)(b)(6)(B)(i)). The Tribally Controlled Schools Act provides for two payments per year: the first payment to be made not later than July 15 and the second payment not later than December 1 (25 USC 2507(a)(1)).
Regarding the use of these funds prior to their expenditure for the purposes for which they were intended, the Congress provided specific guidance in Section 112 of the Department of the Interior and Related Agencies Appropriations Act, 1998, Public Law 105-83, that allows these funds to be invested. Indian tribes and tribal organizations are not accountable to the BIA for the income earned from these investments.
III. COMPLIANCE REQUIREMENTS
In developing the audit procedures to test compliance with the requirements for a Federal program, the auditor should first look to Part 2, Matrix of Compliance Requirements, to identify which of the 14 types of compliance requirements described in Part 3 are applicable and then look to Parts 3 and 4 for the details of the requirements.
B. Allowable Costs/Costs Principles
BIA programs in this Supplement that this section applies to are: Consolidated Tribal Government Program (15.021); and Indian Law Enforcement (15.030).
Indian tribes and tribal organizations may without the approval of the BIA expend funds provided under a self-determination contract for purposes identified in 25 USC 450j-1(k), including the following, to the extent that the expenditure of the funds is supportive of a contracted program (25 USC 450j-1(k)).
1. Building, realty, and facilities costs, including rental costs or mortgage expenses.
2. Automated data processing and similar equipment or services.
3. Costs for capital assets and repairs.
4. Costs incurred to raise funds or contributions from non-Federal sources for the purpose of furthering the goals and objectives of the self-determination contract.
5. Interest expenses paid on capital expenditures such as buildings, building renovation or acquisition or fabrication of capital equipment, and interest expenses on loans necessitated due to delays by the Secretary in providing funds under a contract.
6. Expenses of a governing body of a tribal organization that are attributable to the management or operation of programs under ISDEAA.
H. Period of Availability of Federal Funds
BIA programs in this Supplement that this section applies to are: Consolidated Tribal Government Program (15.021); Tribal Self-Governance (15.022); Indian Law Enforcement (15.030); and Indian School Equalization Program (15.042).
Funds appropriated for any fiscal year which are not obligated or expended prior to the beginning of the fiscal year succeeding the fiscal year for which such funds were appropriated shall remain available for obligation or expenditure during such succeeding fiscal year (25 USC 13a).
N. Special Tests and Provisions
1. Investment and Deposit of Advance Funds
BIA programs in this Supplement that this section applies to are: Consolidated Tribal Government Program (15.021); Tribal Self-Governance (15.022); Indian Law Enforcement (15.030); and Indian School Equalization Program (15.042).
Compliance Requirement - A tribe, tribal organization, or consortia receiving advance payments under the ISDEAA or the Tribally Controlled Schools Act may invest advance payments, before such funds are expended for the purposes of the grant, contract, or funding agreement, so long as such funds are (1) invested in obligations of the United States or in obligations or securities that are guaranteed or insured by the United States, or mutual (or other) funds registered with the Securities and Exchange Commission and which only invest in obligations of the United States or securities that are guaranteed or insured by the United States or (2) deposited in accounts that are insured by an agency or instrumentality of the United States, or are fully collateralized to ensure protection of the advance funds, even in the event of a bank failure (Section 112 of the Department of the Interior and Related Agencies Appropriations Act of 1998, Public Law 105-83).
Audit Objective - Determine whether Indian tribes, tribal organizations, or consortia are properly investing or depositing advanced funds.
Suggested Audit Procedures
(a) Obtain and review tribal policies and procedures for the investment and deposit of funds.
(b) Review unused advances during the audit period and verify that unused funds were properly invested or deposited throughout the period.
DEPARTMENT OF THE INTERIOR
CFDA 15.021 CONSOLIDATED TRIBAL GOVERNMENT PROGRAM
I. PROGRAM OBJECTIVES
The objective of the Consolidated Tribal Government Program is to provide funds for certain programs of an ongoing nature to Indian Tribal Governments in a manner which minimizes program administrative requirements and maximizes flexibility.
II. PROGRAM PROCEDURES
The Bureau of Indian Affairs (BIA) makes direct payments to Federally Recognized Indian Tribal Governments to carry out a variety of activities for which appropriations are made within the Tribal Priority Allocations activity of the BIA budget. For example, Scholarships, Johnson O=Malley, Job Placement and Training, and Agricultural Extension could be combined under a single contract for education and training. This allows tribal contractors greater flexibility in planning their programs and meeting the needs of their people. The simplified contracting procedures and reduction of tribal administrative costs allow for increased services under these contracts.
Source of Governing Requirements
The program is authorized by the Indian Self-Determination and Education Assistance Act (ISDEAA), Title I, Public Law 93-638, as amended (25 USC 450 et seq.).
III. COMPLIANCE REQUIREMENTS
In developing the audit procedures to test compliance with the requirements for a Federal program, the auditor should first look at Part 2, Matrix of Compliance Requirements, to identify which of the 14 types of compliance requirements described in Part 3 are applicable and then look to Parts 3 and 4 for the details of the requirements.
Certain compliance requirements which apply to multiple BIA programs are discussed once in the BIA Cross-Cutting Section of this Supplement (page 4-15.000-1) rather than repeating in each individual program.
- Activities Allowed or Unallowed
- Allowable Costs/Costs Principles
The ISDEAA provides for the expenditure of funds by Indian tribes and tribal organizations under self-determination contracts for programs and activities previously provided by the BIA. Funds may be used for a variety of programs and services that the Federal government otherwise would have provided directly. The specific activities allowed will be indicated in the self-determination contract between the tribal organization and the Secretary of the Interior (25 USC 450f). While the tribe or tribal organization may propose to redesign the program or activity, such redesign must be approved by the BIA (25 USC 450j).
See BIA Cross-Cutting Section.
H. Period of Availability of Federal Funds
See BIA Cross-Cutting Section.
L. Reporting
1. Financial Reporting
a. SF-269, Financial Status Report - Applicable
b. SF-270, Request for Advance or Reimbursement - Not Applicable
c. SF-271, Outlay Report and Request for Reimbursement for Construction Programs - Not Applicable
d. SF-272, Federal Cash Transactions Report - Not Applicable
2. Performance Reporting - Not Applicable
3. Special Reporting - Not Applicable
N. Special Tests and Provisions
See BIA Cross-Cutting Section.
DEPARTMENT OF THE INTERIOR
CFDA 15.022 TRIBAL SELF-GOVERNANCE
I. PROGRAM OBJECTIVES
The objective of the Tribal Self-Governance program is to further the goals of Indian Self-Determination by providing funds to Indian tribes to administer a wide range of programs with maximum administrative and programmatic flexibility.
II. PROGRAM PROCEDURES
The Tribal Self-Governance Act of 1994 (25 USC 458aa et seq.) established tribal self-governance as a permanent option for tribal governments. Under tribal self-governance, Indian tribes have greater control and flexibility in the use of funds, reduced reporting requirements, and authority to redesign or consolidate programs, services, functions, and activities. Tribes are selected from an applicant pool upon meeting certain eligibility requirements.
The Office of Self-Governance makes direct payments to Federally Recognized Indian Tribal Governments and tribal consortia authorized by Federally Recognized Indian Tribal Governments. Funds may be used to support tribal programs such as law enforcement, social services, welfare payments, natural resource management and enhancement, housing improvement, and road maintenance (25 USC 458cc(b)).
Source of Governing Requirements
The program is authorized by the Indian Self-Determination and Education Assistance Act (ISDEAA), Title IV, Public Law 93-638, as amended (25 USC 458aa et seq.).
III. COMPLIANCE REQUIREMENTS
In developing the audit procedures to test compliance with the requirements for a Federal program, the auditor should first look at Part 2, Matrix of Compliance Requirements, to identify which of the 14 types of compliance requirements described in Part 3 are applicable and then look to Parts 3 and 4 for the details of the requirements.
Certain compliance requirements which apply to multiple Bureau of Indian Affairs (BIA) programs are discussed once in the BIA Cross-Cutting Section of this Supplement (page 4-15.000-1) rather than repeating in each individual program.
- Activities Allowed or Unallowed
The ISDEAA provides for the expenditure of funds by Indian tribes and tribal organizations under self-determination contracts or annual funding agreements for programs and activities previously provided by the BIA. Funds may be used for a variety of programs and services that the Federal government otherwise would have provided directly. The specific activities allowed will be indicated in the funding agreement between the tribal organization and the Secretary of the Interior (25 USC 458cc(b) and (c)). Indian tribes and tribal consortia are provided latitude in redesigning programs and activities. However, such redesign is limited to programs covered by the annual funding agreement (25 USC 458cc(b)(3)).
H. Period of Availability of Federal Funds
See BIA Cross-Cutting Section.
N. Special Tests and Provisions
See BIA Cross-Cutting Section.
DEPARTMENT OF THE INTERIOR
CFDA 15.030 INDIAN LAW ENFORCEMENT
I. PROGRAM OBJECTIVES
The objective of the Indian Law Enforcement program is to provide funds to Indian Tribal Governments to operate police departments and detention facilities.
II. PROGRAM PROCEDURES
The Bureau of Indian Affairs (BIA) makes direct payments to federally Recognized Indian Tribal Governments exercising Federal criminal law enforcement authority over crime under the Major Crimes Act (18 USC 1153) on their reservations. Funds may be used for salaries and related expenses of criminal investigators, uniformed officers, detention officers, radio dispatchers, and administrative support.
Source of Governing Requirements
The program is authorized by the Indian Self-Determination and Education Assistance Act (ISDEAA), Public Law 93-638, as amended (25 USC 450 et seq.) and the Indian Law Enforcement Reform Act, Public Law 101-379 (25 USC 2801 et seq.).
Availability of Other Program Information
Part 40 of the Indian Affairs Manual provides information applicable to all law enforcement programs operated by an Indian tribe or tribal organization under a Self-Determination contract. Part 40 does not apply to Indian tribes which have negotiated Self-Governance compacts. The manual is available on the Internet (http://www.doi.gov/bia/iams/iamtoc.htm).
III. COMPLIANCE REQUIREMENTS
In developing the audit procedures to test compliance with the requirements for a Federal program, the auditor should first look at Part 2, Matrix of Compliance Requirements, to identify which of the 14 types of compliance requirements described in Part 3 are applicable and then look to Parts 3 and 4 for the details of the requirements.
Certain compliance requirements which apply to multiple BIA programs are discussed once in the BIA Cross-Cutting Section of this Supplement (page 4-15.000-1) rather than repeating in each individual program.
- Activities Allowed or Unallowed
- Allowable Costs/Costs Principles
The ISDEAA provides for the expenditure of funds by Indian tribes and tribal organizations under self-determination contracts for programs and activities previously provided by the BIA. Funds may be used for a variety of programs and services that the Federal government otherwise would have provided directly. The specific activities allowed will be indicated in the self-determination contract between the tribal organization and the Secretary of the Interior (25 USC 450f). While the tribe or tribal organization may propose to redesign the program or activity, such redesign must be approved by the BIA (25 USC 450j).
See BIA Cross-Cutting Section.
H. Period of Availability of Federal Funds
See BIA Cross-Cutting Section.
L. Reporting
1. Financial Reporting
a. SF-269, Financial Status Report - Applicable
b. SF-270, Request for Advance or Reimbursement - Not Applicable
c. SF-271, Outlay Report and Request for Reimbursement for Construction Programs - Not Applicable
d. SF-272, Federal Cash Transactions Report - Not Applicable
2. Performance Reporting - Not Applicable
3. Special Reporting - Not Applicable
N. Special Tests and Provisions
See BIA Cross-Cutting Section.
DEPARTMENT OF THE INTERIOR
CFDA 15.042 INDIAN SCHOOL EQUALIZATION PROGRAM
I. PROGRAM OBJECTIVES
The objective of the Indian School Equalization Program is to provide funding for elementary and secondary education.
II. PROGRAM PROCEDURES
The Office of Indian Education Programs makes direct payments to Federally Recognized Indian Tribal Governments or tribal organizations currently served by a Bureau of Indian Affairs (BIA) funded school. Funds may be used for the education of Indian children in BIA funded schools. Funds may not be used for construction.
Source of Governing Requirements
The program is authorized by the Indian Self-Determination and Education Assistance Act (ISDEAA), Public Law 93-638, as amended (25 USC 450 et seq.), Indian Education Amendments of 1978, Public Law 95-561 (25 USC 2001 et seq.), and Tribally Controlled Schools Act (25 USC 2501 et seq.).
III. COMPLIANCE REQUIREMENTS
In developing the audit procedures to test compliance with the requirements for a Federal program, the auditor should first look at Part 2, Matrix of Compliance Requirements, to identify which of the 14 types of compliance requirements described in Part 3 are applicable and then look to Parts 3 and 4 for the details of the requirements.
Certain compliance requirements which apply to multiple BIA programs are discussed once in the BIA Cross-Cutting Section of this Supplement (page 4-15.000-1) rather than repeating in each individual program.
- Activities Allowed or Unallowed
The expenditure of funds are restricted to those Federal programs covered by the grant. The Tribally Controlled Schools Act provides for the expenditure of funds by Indian tribes and tribal organizations under grants for education related programs and activities including school operations, academic, educational, residential, guidance and counseling, and administrative purposes, and support services for the school, including transportation (25 USC 2503).
H. Period of Availability of Federal Funds
See BIA Cross-Cutting Section.
L. Reporting
1. Financial Reporting
a. SF-269, Financial Status Report - Applicable
b. SF-270, Request for Advance or Reimbursement - Not Applicable
c. SF-271, Outlay Report and Request for Reimbursement for Construction Programs - Not Applicable
d. SF-272, Federal Cash Transactions Report - Not Applicable
2. Performance Reporting - Not Applicable
3. Special Reporting - Not Applicable
N. Special Tests and Provisions
Also, see BIA Cross-Cutting Section.
1. Character Investigations by Indian Tribes and Tribal Organizations
Compliance Requirement - The Indian Child Protection and Family Violence Prevention Act (25 USC section 3201 et seq.) requires Indian tribes and tribal organizations that receive funds under the ISDEAA or the Tribally Controlled Schools Act to conduct an investigation of the character of each individual who is employed or is being considered for employment by such Indian tribe or tribal organization in a position that involves regular contact with, or control over, Indian children. The Act further states that the Indian tribe or tribal organization may employ individuals in those positions only if the individuals meet standards of character, no less stringent than those prescribed under subpart B - Minimum Standards of Character and Suitability for Employment (25 CFR part 63), as the Indian tribe or tribal organization establishes.
Audit Objective - Determine whether Indian tribes and tribal organizations are performing the required background character investigations of school employees.
Suggested Audit Procedures
a. Obtain and review policies and procedures for the performance of background investigations.
b. Perform tests of selected security and personnel files of employees occupying positions that have regular contact with or control over Indian children to verify:
(1) A suitability determination was conducted by an appropriate adjudicating official who themselves were the subject of a favorable background investigation (25 CFR section 63.17(c)).
(2) The background investigation covered the past 5 years of the individual's employment, education, etc. (25 CFR section 63.16(b)).
(3) A security investigation was obtained and compared to the employment application (25 CFR section 63.17(e)(1)).
(4) Written record searches were obtained from local law enforcement agencies, former employers, former supervisors, employment references, and schools (25 CFR section 63.17(e)(2)).
(5) Fingerprint charts were compared to information maintained by the Federal Bureau of Investigation or other law enforcement information maintained by other agencies (25 CFR section 63.17(e)(3)).
DEPARTMENT OF THE INTERIOR
CFDA 15.605 SPORT FISH RESTORATION
CFDA 15.611 WILDLIFE RESTORATION
I. PROGRAM OBJECTIVES
The objective of the Federal Aid in Sport Fish Restoration program is to restore, conserve, and enhance sport fish populations and to provide for public use and enjoyment of these fisheries resources.
The objective of the Federal Aid in Wildlife Restoration program is to restore, conserve, and enhance wildlife populations, provide for public use and enjoyment of these resources, and to provide training to hunters and archers in skills, knowledge, and attitudes necessary to be responsible hunters.
II. PROGRAM PROCEDURES
The U.S. Fish and Wildlife Service makes program and project grants to State fish and game agencies with funds apportioned to each State through a statutory formula. States may submit either a comprehensive plan or project proposal to the Service. When either is approved, the State is generally reimbursed for up to 75 percent of the cost of the work performed.
A copy of the Sport Fish and Wildlife Restoration Acts can be accessed on the Internet at http://164.159.76.234/R1FEDAID/TOOLKIT.HTM.
III. COMPLIANCE REQUIREMENTS
In developing the audit procedures to test compliance with the requirements for a Federal program, the auditor should first look at Part 2, Matrix of Compliance Requirements, to identify which of the 14 types of compliance requirements described in Part 3 are applicable and then look to Parts 3 and 4 for the details of the requirements.
A. Activities Allowed or Unallowed
1. Wildlife Restoration Allowable Activities
Specific allowable projects are specified in the grant agreements. Allowable projects shall have as their purpose:
a. The restoration, conservation, management, and enhancement of wild birds and wild mammals, and the provision of public use of and benefits from these resources (50 CFR section 80.5(a)).
b. Projects having as their purpose the education of hunters and archers in the skills, knowledges, and attitudes necessary to be a responsible hunter or archer (50 CFR section 80.5(a)).
2. Sport Fish Restoration Allowable Activities
Specific allowable projects are specified in the grant agreements. Allowable projects shall have as their purpose the restoration, conservation, management, and enhancement of sport fish, and the provision for public use and benefits from these resources (50 CFR section 80.5(b)(1)).
3. Unallowable Activities
The following activities are unallowable:
a. With the exception of law enforcement activities to accomplish Federal project purposes as approved by the Regional Director of the U.S. Fish and Wildlife Service or to protect Federal aid assets, use of grant funds for enforcement of game and fish laws and regulations is prohibited (50 CFR section 80.6(a)).
b. Public relations activities for the purpose of promoting organizations or agencies, including publication of agency magazines, displays, and exhibits, are ineligible except as they apply to educational or technical guidance activities specifically related to the accomplishment of Federal aid projects (50 CFR section 80.6(b)).
c. Activities for the purpose of providing revenues are ineligible. These activities include the process and sale of licenses and permits and the acquisition of real or personal property for the purpose of using that property for rental, leases, sales or other commercial purposes. However, the production of incidental income, which results from otherwise eligible activities, is not prohibited (50 CFR section 80.14(c)).
F. Equipment and Real Property Management
Real property acquired or constructed with Federal funds shall continue to serve the propose for which acquired or constructed. When property passes from management control of the State fish and wildlife agency, the control shall be fully restored to the State fish and wildlife agency or the real property shall be replaced using non-Federal funds. When property is used for purposes which interfere with the accomplishment of approved purposes, the violating activities shall cease and adverse effects be remedied (50 CFR section 80.14).
G. Matching, Level of Effort, Earmarking
1. Matching
Federal participation is limited to 75 percent of eligible costs incurred in the completion of approved work or the Federal share specified in the grant agreement, whichever is less (50 CFR section 80.12).
2 Level of Effort - Not Applicable
3. Earmarking
a. Indirect Costs Limitation
The amount of overhead or indirect costs charged to the projects under these programs for central services provided from outside the fish and game agency may not exceed three percent of the annual apportionment to the State (50 CFR section 80.15(d)).
b. Aquatic Education
Not more than 10 percent of the annual apportionment to each State under the provisions of the Federal Aid in Sport Fish Restoration Act may be used for aquatic education projects (50 CFR section 80.15(e)).
c. Recreational Boating Access Facilities
The State shall allocate at least 12.5 percent of each annual apportionment under the Federal Aid in Sport Fish Restoration Act for recreational boating access facilities (16 USC 777g(b)(1)).
H. Period of Availability of Federal Funds
Multi-year financing exception - States may finance the acquisition of lands and the construction of facilities using multi-year funding as authorized by the Federal Aid in Sport Fish Restoration Act (50 CFR section 80.25).
J. Program Income
Program income (e.g., timber sales, leases, fees) is often generated on land purchased, improved, or maintained with Federal funds. This program income may be generated years after the expenditure of Federal funds to purchase or improve the land (50 CFR section 80.4).
L. Reporting
1. Financial Reporting
a. SF-269, Financial Status Report - Applicable
b. SF-270, Request for Advance or Reimbursement - Not Applicable
c. SF-271, Outlay Report and Request for Reimbursement for Construction Programs - Not Applicable
d. SF-272, Federal Cash Transactions Report - Not Applicable
2. Performance Reporting - Not Applicable
3. Special Reporting
Paid Hunting and Fishing License Certification (OMB Approval No.1018-0007) - The State fish and wildlife agency shall certify annually the number of paid hunting and fishing license holders in the State. A paid license holder is one person, regardless of the number of licenses, tags, permits, or stamps held. Only licenses sold by the State or its designee in which revenues from the sale of the licenses are returned to the State fish and wildlife agency are to be included in the annual certificates. Free licenses or licenses issued for a token fee shall not be counted (50 CFR section 80.10).
N. Special Tests and Provisions
1. Assent Legislation and Diversion of License Fees
Compliance Requirement - A State may participate in the benefits of the Sport Fish and Wildlife program and the Wildlife Restoration program only after it has passed legislation for the conservation of fish and wildlife, including a prohibition against the diversion of license fees paid by hunters and sport fishermen to purposes other than for the administration of the fish and wildlife agency (50 CFR section 80.3).
License fees paid by hunters and fishermen, include any special license, permits, stamps, tags, or access fees. Also included are revenues for the sale, lease, or rental of items on property purchased with Federal funds, as well as the interest or dividends earned on the license revenues (50 CFR section 80.4).
Administration of the State fish and wildlife agency includes only those functions required to manage the fish and wildlife-oriented resources of the State. Law enforcement activities for predator, animal, and rodent control are not administration of the State fish and wildlife agency (50 CFR section 80.4(b)).
Audit Objective - Determine whether revenues from license fees paid by hunters and sport fishermen are used only for the administration of the State fish and wildlife agency.
Suggested Audit Procedures
a. Ascertain if there are legislative prohibitions in place to prevent diversion of license revenues.
b. Perform tests to ascertain if hunting and sport fishing license revenue was properly accounted for and restricted for use for the administration of the State fish and wildlife agency.
c. Test expenditures from the license fees paid by hunters and sport fisherman to ascertain if they were used for the administration of the State fish and wildlife agency.
d. Perform procedures to ascertain if there were any transfers from the State fish and wildlife agency which divert license fees paid by hunters and sport fisherman from the administration of the State fish and wildlife agency.
