Tribal CC Financial Rept. Inst.

INSTRUCTIONS FOR COMPLETION OF FORM ACF-696T

Financial Reporting Form for the

Child Care and Development Fund Tribal Grantees

NOTE: "THE PAPERWORK REDUCTION ACT OF 1995"

Public reporting for this collection of information is estimated to average 8 hours per response, including the time for reviewing instructions, gathering and maintaining the data needed, and reviewing the collection of information.

An agency may not conduct or sponsor, and a person is not required to respond to, a collection of information unless it displays a currently valid OMB control number.

All Tribal grantees are required to complete and submit this report on an annual basis in accordance with these instructions on behalf of the Tribal Lead Agency administering the Child Care and Development Fund (CCDF).

Definition

Child Care and Development Fund (CCDF):

Child care programs conducted under the provisions of the Child Care and Development Block Grant Act, as amended. For Tribal grantees, the fund consists of Discretionary funds authorized under section 658B of the amended Act, and Tribal Mandatory funds appropriated under section 418 of the Social Security Act.

Tribal Lead Agencies have the option of submitting the form ACF-696T either electronically through Online Data Collection (OLDC) or manually by mailing hard copies. ACF encourages

grantees to use OLDC since it reduces paperwork, allows for quicker processing, automatically completes required calculations, and checks for potential errors.

Electronic Submission: The ACF-696T is available for submission through the Internet using OLDC. Tribal Lead Agencies with OLDC assignments may access the system at: https://extranet.acf.hhs.gov/ssi. Tribal Lead Agencies without OLDC assignments may access the system at the above address after submitting the OLDC Request Form to the appropriate ACF Regional Office contact. The OLDC Request Form is attached and is available electronically (along with OLDC help sheets, user guides and tutorials) at: https://extranet.acf.hhs.gov/oldcdocs/materials.html. The completed OLDC Request Form may be emailed or faxed to your Regional Office contact (see attachment). Please submit an OLDC Request Form for each staff person who will play a role in using OLDC. ACF will create a User ID based on the information provided on the OLDC Request Form. An e-mail message is automatically sent to the staff member identified on the OLDC Request Form when an OLDC User ID and password is created for that person.

Manual Submission: If submitting hard copies, a Tribe must submit two copies:

1. The original copy (with original signatures) must be submitted to:

The Administration for Children and Families

Office of Administration

Division of Mandatory Grants

370 L’Enfant Promenade, S.W.

Washington, D.C. 20447

2. An additional copy must be submitted to the ACF Regional Office. (See attachment for list of addresses).

Due Date: Regardless of whether the ACF-696T is submitted electronically or manually, completed forms must be received by ACF within 90 days after the end of the Federal fiscal year—i.e., December 29 of each year.

Supporting Documentation: Upon request, a Tribal Lead Agency must provide the Administration for Children and Families with supporting documentation for any reported expenditures to ensure compliance with Federal CCDF rules.

Identifying Information

At the top of the form, enter identifying information, as described below.

Tribe. Enter Tribe’s Name.

Fiscal Year Grant Was Awarded. Enter the fiscal year of the grant for which this report is being submitted. This fiscal year indicates the year in which the funds were awarded--not necessarily the year in which they were expended. The fiscal year for a grant award can be found at the top of the Notice of Grant Award received from the Administration for Children and Families and is also displayed in the second and third positions of the grant's document number.

Grant Doc. #(s). Enter the Grant Document Number(s). The Grant Document Number is found on the Grant Award Document under the heading "Document Number". If multiple grant awards are issued in a fiscal year (e.g., construction and renovation), please enter all relevant numbers.

Expenditure Period. Indicate the expenditure period covered by the report (i.e., the period during which reported cumulative expenditures were made). The expenditure period should correspond with the Federal fiscal year—beginning on October 1 and ending on September 30. For example, if the Tribe is reporting expenditures made during fiscal year 2013, the expenditure period reported on the ACF 696T form would be “10/1/2012 to 9/30/2013”.

Tribal grantees must submit separate annual reports for each fiscal year in which CCDF funds were awarded. An interim report is submitted if the Tribal grantee has not yet expended all funds for a given fiscal year. A final report is submitted once all funds for a given fiscal year have been expended. In other words, Tribes have to submit interim cumulative reports annually until all funds that were awarded in a given fiscal year have been liquidated. Since CCDF funds are available for use in more than one fiscal year, a Tribe may have to submit more than one ACF-696T financial reporting form each year.

For example, if a Tribe has received FY 2011, FY 2012 and FY 2013 funds, annual reports would be due as follows: (Note: * designates the report due this current reporting period.)

• First interim FY 2011 report was due on or before 12/29/2011

Second interim FY 2011 report was due on or before 12/29/2012

Final FY 2011 report is due on or before 12/29/2013 *

• First interim FY 2012 report was due on or before 12/29/2012

Second interim FY 2012 report is due on or before 12/29/2013 *

Final FY 2012 report is due on or before 12/29/2014

• First interim FY 2013 report is due on or before 12/29/2013 *

Second interim FY 2013 report is due on or before 12/29/2014

Final FY 2013 report is due on or before 12/29/2015

As you can see, the Tribe may be submitting three reports at the end of FY 2013--a final report for FY 2011 funding, an interim report for FY 2012 funding, and an interim report for FY 2013 funding.

Final Report. Check the appropriate box (“yes” or “no”) to indicate whether this is a final report for a given fiscal year. A Tribe should mark “yes” if it has finished expending funds for the given fiscal year, and should mark “no” if it plans future expenditures from the given fiscal year.

Submission: Original/Revised. Check the appropriate box ("original" or "revised") to indicate whether this is a new report (original) or a revision of a report previously submitted (revised) for the same fiscal year grant and expenditure period.

Definition

Obligation and Liquidation:

Generally speaking, an obligation is an action that commits the funds, such as a legally-binding agreement (e.g., contract or subgrant) between two parties for purchase of services, supplies or equipment. Liquidation generally means the payment of funds to a third party as a result of an obligation.

More specifically, determination of whether funds have been obligated and liquidated will be based on applicable tribal, State or local law. If there is no applicable tribal, State or local law, then definitions at 45 CFR 92.3 apply (as described further in the last paragraph of this box).

Depending on applicable law, obligations may include subgrants or contracts that require the payment of funds to a third party (e.g., subgrantee or contractor). However, the following are not considered third party grantees or contractors: (1) a local office of the Lead Agency; (2) another entity at the same level of government as the Lead Agency; or (3) a local office of another entity at the same level of government as the Lead Agency.

Funds for CCDF services provided through a child care certificate or voucher will be considered obligated when a written certificate/voucher is issued to a family that indicates: (1) the amount of funds that will be paid to a child care provider or family, and (2) the specific length of time covered by the certificate/voucher, which is limited to the date established for redetermination of the family’s eligibility, but shall be no later than the end of the liquidation period.

In cases where tribal, State or local law does not apply, 45 CFR 92.3 defines:

Obligations as the amounts of orders placed, contracts and subgrants awarded, goods and services received, and similar transactions during a given period that will require payment by the grantee during the same or a future period; and

Liquidations (or outlays/expenditures) as charges made to the project or program. For reports prepared on a cash basis, liquidations are the sum of actual cash disbursement for direct charges for goods and services, the amount of indirect expense incurred, the value of in-kind contributions applied, and the amount of cash advances and payments made to contractors and subgrantees. For reports prepared on an accrued expenditure basis, liquidations are the sum of actual cash disbursements, the amount of indirect expense incurred, the value of inkind contributions applied, and the new increase (or decrease) in the amounts owed by the grantee for goods and other property received, for services performed by employees, contractors, subgrantees, subcontractors, and other payees, and other amounts becoming owed under programs for which no current services or performance are required, such as annuities, insurance claims, and other benefit payments.

Obligation and Liquidation Timeframes. Tribal grantees have two years to obligate Tribal Mandatory and Discretionary funds and an additional year to liquidate. For example, Tribes have until September 30, 2013, to obligate Tribal Mandatory and Discretionary funds awarded in FY 2012 (10/1/11 to 9/30/12). Those funds must be liquidated by September 30, 2014.

There are different obligation/liquidation requirements for funds in the grant award for construction and renovation--three years to liquidate with no separate obligation requirement. The liquidation timeframe for construction/renovation begins with the date that funds are originally awarded—not the date that funds are transferred to the separate grant award for construction and renovation. For example, funds awarded and then transferred to construction and renovation in FY 2012 must be liquidated by September 30, 2014. (Funds cannot be moved to construction/renovation after the end of the fiscal year in which they were awarded.)

Any FY 2012 funds not liquidated by September 30, 2014, would revert to the Federal government.

Rounding Instructions

Round all entries to the nearest dollar. Omit cents. If 50 cents or more, round up to the nearest dollar. If 49 cents or less, round down to the nearest dollar.

Cumulative Fiscal Year Totals

All amounts reported must reflect expenditures of Federal CCDF funds made under the Tribe’s approved CCDF plan and in accordance with all applicable statutes and regulations. Do not include tribal, local, private, or other funds.

Tribes should report amounts on a cumulative basis. For example, for funds awarded in FY 2013, the first interim report is due by December 29, 2013, the second interim report is due by December 29, 2014, and the third and final report is due by December 29, 2015. Amounts reported in the second and third reports should reflect expenditures to date, including any expenditures that were included in the earlier report(s).

Columns

Column (A). Tribal Mandatory Funds. Amounts reported in this column relate to CCDF Tribal Mandatory Funds provided under section 418 of the Social Security Act.

Definition

Tribal Mandatory Funds:

Child care funds set aside at section 418(a)(4) of the Social Security Act. The funds consist of 2 percent of the aggregate Mandatory and Matching child care funds reserved by the Secretary in each fiscal year for payments to Indian Tribes and tribal organizations.

Column (B). Discretionary Funds. Amounts reported in this column relate to CCDF Tribal Discretionary Funds provided under the Child Care and Development Block Grant Act, not including the base amount, which is reported separately in Column (C).

Definition

Discretionary Funds:

Child care funds authorized under section 658B of the Child Care and Development Block Grant Act. The Discretionary funds were formerly referred to as the Child Care and Development Block Grant. The Secretary reserves 2 percent of total Discretionary Funds in each fiscal year for grants to Indian Tribes and tribal organizations.

Although Tribes receive CCDF Federal funds from two different sources (Tribal Mandatory and Discretionary), both Tribal Mandatory and Discretionary Funds may be expended for the same purposes--child care services, child care administration, non-direct services, quality activities, and (subject to ACF approval) construction and renovation. Expenditures are subject to certain limitations and requirements that are described below in the line-by-line instructions.

Column (C). Discretionary Funds Base Amount. Amounts reported in this column relate to the Discretionary base amount.

Definition

Discretionary Funds Base Amount:

Tribal grants from Discretionary Funds include a base amount of $20,000 for individual Tribes (not part of a consortium). Grantees representing a consortium of Tribes receive $20,000 for each consortium member (or a pro-rated amount for members with fewer than 50 children). The base amount may be used for any activity consistent with the purposes of CCDF, including the administrative costs of implementing a child care program and is not subject to the 15 percent administrative cost limitation.

Column (D). Construction and Renovation Tribal Mandatory Funds. Amounts reported in this column relate to funds transferred from the Tribal Mandatory Funds grant award to a separate grant award for construction/renovation.

Column (E). Construction and Renovation Tribal Discretionary Funds. Amounts reported in this column relate to funds transferred from the Discretionary Funds grant award to a separate grant award for construction/renovation. Note: A Tribal grantee must request and receive ACF approval prior to using funds for construction and renovation that are reported in Columns (D) and (E).

Lines

Line 1. Federal Funds Awarded. Enter in Columns (A), (B), and (C) the total amount of Federal funds awarded for each columnar category for the fiscal year for which the report is being submitted. No entry should be made in Columns (D) and (E). For example, Line 1 Column (A) should be the total amount of Federal Tribal Mandatory funds issued to the Tribe for the fiscal year for which the report is submitted. The amount of funds awarded is indicated on the Notice of Grant Award received from the Administration for Children and Families. The amount of funds awarded can also be found on the Office of Child Care’s website at: http://www.acf.hhs.gov/programs/occ/law/allocations/tribal.htm. Please use the “final” allocation table for the relevant fiscal year. Do not use the “estimated” table.

Line 2. Transfer to Construction/Renovation. Enter in Columns (A), (B), and (C) the total amount of Federal funds transferred to the construction/renovation grant award for each columnar category from the fiscal year's grant for which the report is being submitted. No entry should be made in Columns (D) and (E). For example, Line 2 Column (A) should contain the total amount of Federal Tribal Mandatory funds transferred to construction/renovation from the fiscal year's grant for which the report is submitted. The amount of funds transferred to construction/renovation is indicated on a separate construction/renovation Notice of Grant Award received from the Administration for Children and Families.

The amounts reported on Line 2 are the amounts that have been transferred to the separate grant award for construction/renovation--not amounts that have actually been expended for construction/renovation. Amounts expended for construction/renovation are reported on

Line 8.

Once funds are transferred to construction/renovation, those funds remain there; however, upon ACF approval (in accordance with CCDF-ACF-PI-2010-03), those funds may be used for other child care activities. Please note that if the Tribe subsequently requests that construction/renovation funds be used for other child care activities, these funds will still be reported in columns (D) and (E).

Line 3. Total Funds Available. Enter in Columns (A), (B), (C), (D), and (E) the total amount of Federal funds available for each columnar category from the fiscal year's grant for which the report is being submitted. For each of the columns (A), (B), and (C), line 3 is equal to line 1 minus line 2. The amounts reported on line 3 should be equal to the funding amounts for Tribal Mandatory Funds and Discretionary Funds contained on the revised Notice of Grant Award(s) issued after the transfer of funds to the separate grant award for construction/renovation.

For example, Line 3 Column (A) should contain the total amount of Federal Tribal Mandatory funds issued to the Tribe for the fiscal year for which the report is submitted less the amount transferred to construction/renovation. Line 3 Column (D) will be equal to the amount entered in Line 2 Column (A); Line 3 Column (E) will be equal to the total of the amounts entered on Line 2 Column (B) and Line 2 Column (C).

Line 4. Expenditures for Child Care Services. Enter in Columns (A), (B), (C), (D), and (E) Federal expenditures made for child care services from the fiscal year's grant for which the report is being submitted. Child care services may be provided through grants or contracts for child care slots, certificates (or vouchers), or tribally-operated centers.

Line 5. Expenditures for Child Care Administration. Enter in Columns (A), (B), (C), (D), and (E) Federal expenditures made for child care administration from the fiscal year's grant for which the report is being submitted.

Definition

Child Care Administration:

As listed at 45 CFR 98.52, examples of administrative activities include, but are not limited to:

• planning, developing, and designing the CCDF program;

• providing local officials and the public with information about the program, including the conduct of public hearings;

• preparing the application and Plan;

• developing agreements with administering agencies in order to carry out program activities;

• monitoring program activities for compliance with program requirements;

• preparing reports and other documents related to the program for submission to the U.S. Department of Health and Human Services;

• maintaining substantiated complaint files;

• coordinating the provision of CCDF services with other Federal, State, and local child care, early childhood development programs, and before- and after-school care programs;

• coordinating the resolution of audit and monitoring findings;

• evaluating program results; and

• managing or supervising persons with responsibilities for the activities described above.

Administrative costs do not include the costs of:

• providing direct services

• establishing and operating a certificate program;

• eligibility determination and redetermination;

• the establishment and maintenance of computerized child care information systems;

• preparation and participation in judicial hearings;

• child care placement;

• recruitment, licensing, inspection, reviews, and supervision of child care placements;

• resource and referral services

• rate setting; and

• training of child care staff.

The 15 percent administrative cost limitation applies to the aggregate total of CCDF funds expended, including amounts for construction and renovation but not including the base amount.

At the end of the liquidation period, the sum of Columns (A), (B), (D), and (E) on Line 5 cannot exceed 15 percent of the sum of (A), (B), (D), and (E) on Line 9. The 15 percent limit is calculated on the total of (A), (B), (D), and (E). The 15 percent limit does not apply separately to each individual Column. Column (C) is not included in this calculation. The base amount of the Discretionary Funds is not subject to the administrative cost limitation.

Many Federal programs permit Indian Tribes and tribal organizations to apply an indirect cost rate to account for administrative costs that cannot be easily charged to a specific program (e.g., accounting and personnel services). An indirect cost rate is arrived at through negotiation between an Indian Tribe or tribal organization and the appropriate Federal agency. Indirect costs, as determined by an indirect cost agreement, are an allowable expense for tribal grantees under CCDF and, if expended, should be reported on Line 5. However, regardless of a Tribe's negotiated indirect cost rate, CCDF administrative costs cannot exceed the 15 percent administrative cost limit.

Line 6. Expenditures for Non-Direct Services. Enter in Columns (A), (B), (C), (D), and (E) Federal expenditures made for child care non-direct services from the fiscal year's grant for which the report is being submitted. Non-direct services are child care services provided that are not direct services to families (which are reported on Line 4) and are not considered administrative costs under 45 CFR 98.52 (which are reported on Line 5). Non-direct service expenditures reported on line 6 are not considered administrative costs and therefore do not count towards the 15 percent administrative cost limit.

Definition

Non-Direct Services:

Non-direct services are child care services provided that are not direct services to families but that are not considered administrative costs under 45 CFR 98.52. Non-direct services include:

• establishing and operating a certificate program;

• eligibility determination and redetermination;

• the establishment and maintenance of computerized child care information systems;

• preparation and participation in judicial hearings;

• child care placement;

• recruitment, licensing, inspection, reviews, and supervision of child care placements;

• rate setting; and

• training of child care staff.

Non-direct services are not the same as indirect costs. Indirect costs are administrative costs that cannot be easily allocated to a specific program, and are reported on Line 5.

Line 7. Expenditures for Quality Activities. Enter in Columns (A), (B), (C), (D), and (E) the Federal expenditures for quality activities from the fiscal year's grant for which the report is being submitted.

Definition

Quality Activities:

Quality activities are designed to improve the quality and availability of child care. Examples of quality activities include, but are not limited to:

• activities designed to provide consumer education to parents and to the public;

• activities that increase parental choice;

• activities designed to improve the overall quality and availability of child care;

• Operating directly or providing financial assistance to organizations for the development, establishment, expansion, operation, and coordination of resource and referral programs;

• Making grants or providing loans to child care providers in meeting applicable child care standards.

• Improving the monitoring of compliance with, and enforcement of, applicable requirements;

• Providing training and technical assistance in areas such as health and safety, nutrition, first aid, the recognition of communicable diseases, child abuse detection and prevention, and care of children with special needs; and

• Improving salaries and other compensation for staff that provide child care services.

For additional examples of quality improvement activities, see 45 CFR 98.51. A non-exempt Tribe that receives CCDF funds shall use not less than 4 percent of the amount of such funds (the total of Tribal Mandatory and Discretionary, not including the Discretionary base amount) for quality activities. The 4 percent requirement applies to funds expended rather than the total of funds available.

Both exempt and non-exempt Tribes must complete Line 7.

For non-exempt Tribal grantees only: At the end of the liquidation period, the sum of the amounts in Columns (A), (B), (C), (D), and (E) on Line 7 must be at least 4 percent of the sum of Columns (A), (B), (D), and (E) on Line 9. Note: In the calculation described above, Column (C) is included in the first sum mentioned (involving Line 7), but excluded from the second sum (involving Line 9). Because Tribes have flexibility regarding how they spend the base amount of Discretionary Funds, Column (C) is not included in the expenditure total that is used to calculate the 4 percent threshold. However, when determining if a Tribe has actually met its threshold at the end of the liquidation period, Tribes will receive credit for any quality expenditures made from the base amount. The 4 percent minimum does not apply separately to each individual Column. Tribal grantees with total CCDF allocations less than $500,000 in a fiscal year will be considered exempt. Tribal grantees with allocations equal to or greater than $500,000 are non-exempt. Exempt Tribal grantees are encouraged, but not required, to spend funds for quality activities.

Line 8. Expenditures for Construction/Renovation. Enter in Columns (D) and (E) the Federal expenditures for construction/renovation from the fiscal year's grant for which the report is being submitted. Only Columns (D) and (E) are completed. No entry is required in Columns (A), (B), and (C).

Note: CCDF funds cannot be spent for construction or major renovation until a Tribe has applied for and received approval from the Administration for Children and Families.

Line 9. Total Federal Expenditures. Enter in Columns (A), (B), (C), (D), and (E) the total amount of Federal funds expended from the fiscal year’s grant for which the report is being submitted.

Line 9 is equal to Line 4 + Line 5 + Line 6 + Line 7 + Line 8.

Line 10. Total Federal Share of Unliquidated Obligations. Enter in Columns (A), (B), (C), (D), and (E) the total amount of obligated Federal funds that have not been liquidated from the fiscal year's grant being reported. See pages 4 and 5 of the instructions for a description of obligation and liquidation timeframes.

Line 11. Total Federal Unobligated Balance. Enter in Columns (A), (B), (C), (D), and (E) the unobligated balance for the fiscal year's grant for which the report is being submitted. See pages 4 and 5 of the instructions for a description of obligation and liquidation timeframes.

Line 11 is equal to Line 3 minus (Line 9 + Line 10 ).

Line 3 is equal to Line 9 + Line 10 + Line 11.

Reallotted Funds

Any portion of a Tribe’s allotment of Discretionary Funds that is not required to carry out its plan, in the period for which the allotment is made available, shall be reallotted to other tribal grantees in proportion to their original allotments. By April 1 of each year, Tribal grantees are

required to report in a letter to ACF the dollar amount from the previous year’s grant that it will be unable to obligate by the end of the obligation period (September 30).

Based on these reallotment reports, ACF will issue a negative Discretionary grant award to the Tribe based on the amount submitted in the letter and those Discretionary Funds will be reallotted. If the total amount available for reallotment from all Tribal grantees is $25,000 or more, funds will be reallotted to other Tribal grantees. If the total available is less than $25,000, no reallotment will take place, and funds will revert to the Federal government. If an individual reallotment amount to a Tribe is less than $500, the reallotment award will not be issued to that Tribe. If a Tribe does not submit a reallotment report by the April 1 deadline, a determination will be made that the Tribe does not have funds available for reallotment. In the case of a report received after April 1, any funds reported to be available for reallotment shall revert to the Federal government.

On the space provided on the form, check whether or not the Tribe would like to receive its proportional share of reallotted Discretionary Funds that may become available in the second fiscal year of a given grant period. Please Note: If the ACF-696T reports are not received within 90 days after the end of the fiscal year (December 29), the Tribe will not be eligible for reallotted Discretionary Funds. This portion of the form is simply a vehicle for Tribal grantees to request reallotted funds, if they become available. This form is not used to report funds that the Tribe will be unable to obligate; these amounts must be reported in a letter prior to April 1, as described above.

Signatures

This report must be signed by an official representing the Tribal grantee and dated in the space provided, including the title, agency and phone number of the individual whose signature is shown. The individual who signs this report is certifying that: (a) the information provided on all parts of this form and all accompanying documents is accurate and correct, and (b) the Tribal Lead Agency has expended required funds that are targeted for child care resource and referral and school-age care activities.

8