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Aurora staff caution against passing federal earmarks through city to nonprofits
Summary
City staff advised the Visor Committee that serving as a subrecipient for congressional directed spending (CDS) requests for nonprofits would create heavy compliance, reporting, and liability burdens and could jeopardize existing federal awards.
Aurora staff told the committee they have considered the operational implications if nonprofit organizations become ineligible to apply directly for congressional directed spending and the city must act as a subrecipient.
"If the city was engaged in doing subrecipient grants for nonprofits ... the city would be responsible for ensuring that the nonprofits are reporting everything correctly and spending the money they've been allocated in a way that is in line with federal requirements," Liz said. She warned that if the nonprofit failed to comply and the city did not…
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