Grant closeout procedures shall include the following requirements:
- Upon request, the State shall make prompt payments to a grantee for reimbursement costs under the grant being closed out.
- The grantee shall immediately refund to the state any balance of unobligated (unencumbered) cash advanced to the grantee that is not authorized to be retained by the grantee for use on other grants.
- The State shall obtain from the grantee within 180 days after the date of completion of the grant all financial, performance, and other reports required as a condition of the grant. The State may grant extensions when requested by the grantee.
- The grantee shall account for any property acquired with grant funds.
- In the event a final audit has not been performed prior to the close-out of the grant, the state shall retain the right to recover an appropriate amount from the grantee after fully considering the recommendations on disallowed costs resulting from a review of final financial reports by the state.
All contractual agreements shall provide procedures to be followed when a grantee has failed to comply with the award stipulations, standards or conditions. When that occurs, the State may, on reasonable notice to the grantee, suspend the grant and withhold further payments, or prohibit the grantee from incurring additional obligations of grant funds, pending corrective action by the grantee or a decision to terminate. The State shall allow all necessary and proper costs which the grantee could not reasonably avoid during the period of suspension provided that they are allowable costs described in 2 CFR Part 200 Subpart E.