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Finance director warns proposed OMB grant rules could increase county oversight burden and trigger single audits
Summary
Finance Director Tammy Robinson told the commission OMB’s proposed federal grant rule changes could make the county responsible for oversight of subawardees, potentially exposing Geary County to single‑audit requirements and added administrative costs estimated around $56,000.
Finance Director Tammy Robinson presented June financial reports and warned that proposed Office of Management and Budget (OMB) changes to federal grant rules could shift significant oversight responsibilities to county governments that serve as prime awardees. Robinson said the rule proposals could allow federal agencies to end multi‑year grants before their scheduled terms and could require counties that host subawardees to perform grant oversight to ensure compliance.
Robinson explained the financial implications: increased administrative workload, potential need for additional staff to perform oversight, and the risk that oversight of subawardees could push the county into the federal single‑audit threshold. "If we have to oversee it, I believe that we’ll have to show it as grant money, which will also make it subject to single audit," she said, adding a single audit could cost the county about $56,000 in additional audit expense.
Robinson urged commissioners to consider submitting comments to NACO and to plan how the county would manage subaward oversight to avoid unintended audit and cost exposures. Commissioners asked follow‑up questions about which funds would be affected and about options to charge administrative fees to cover oversight if the county chooses to accept subaward relationships.
