Circular 5010-1E - Revised July 16, 2018

1 Circular Department of Transportation Federal Transit Administration FTA C March 21, 2017 Rev. 1, July 21, 2017 Rev. 2, July 16, 2018 Subject: AWARD MANAGEMENT REQUIREMENTS 1. PURPOSE. This Circular is a reissuance of guidance (previously Grant Management Requirements ) for post-award administration and management activities for all applicable Federal Transit Administration (FTA) federal assistance programs. This revision incorporates provisions of the Fixing America s Surface Transportation Act (FAST Act) programs and the Moving Ahead for Progress in the 21st Century Act (MAP-21) programs.

2 This Circular includes the most current guidance for the federal public transportation programs as of the date of publication. This Circular revision also incorporates provisions of Department of Transportation (DOT) regulations, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards, 2 CFR part 1201. These regulations incorporate by reference the Office of Management and Budget (OMB), Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards, 2 CFR part 200, which supersedes and streamlines the former OMB Circulars on Uniform Administrative Guidance, A-102 and A-110, former OMB Circulars on Cost Principles, A-21, A-87, and A-122, and former OMB Circulars addressing Single Audit issues, A-133 on Single Audit Act administration and A-50 on Single Audit Act follow-up.

3 OMB s final guidance consolidates the guidance previously contained in the aforementioned documents into a streamlined format that aims to improve both clarity and accessibility. The DOT adopts this guidance, with a few DOT-specific provisions. The DOT regulations, 2 CFR part 1201, supersede and repeal the requirements of the former DOT Common Rules, Uniform Administrative Requirements for Grants and Cooperative Agreements to State and Local Governments, former 49 CFR part 18, and Uniform Administrative Requirements for Grants and Agreements with Institutions of Higher Education, Hospitals, and other Non- Profit Organizations, former 49 CFR part 19.

4 Grant Agreements and Cooperative Agreements awarded before December 26, 2014, however, shall continue to be subject to the former DOT Common Rules, 49 CFR parts 18 and 19, and OMB guidance in effect on the date FTA awarded federal assistance for such Grant or Cooperative Agreements. FTA C Page ii These requirements are intended to assist recipients in administering FTA-funded projects and in meeting the responsibilities and reporting requirements of FTA Awards. Recipients have a responsibility to comply with regulatory requirements and to be aware of all pertinent materials to assist in the management of their federally assisted Awards.

5 2. CANCELLATION. This Circular cancels FTA Circular , Grant Management Guidelines, dated 08-27-2012. 3. AUTHORITY. a. Federal Transit Laws, codified at 49 chapter 53. b. 49 CFR 4. WAIVER. FTA reserves the right to waive any provision of this Circular to the extent permitted by federal law or regulation. 5. FEDERAL REGISTER NOTICE. In conjunction with publication of this Circular , a Federal Register notice was published on January 13, 2017. 6. AMENDMENTS TO THE Circular . FTA reserves the right to update this Circular to reflect changes in other Revised or new guidance and regulations that undergo notice and comment without further notice and comment on this Circular .

6 FTA will post updates on our Web site: The Web site allows the public to register for notification when FTA issues Federal Register notices or new guidance. Visit the Web site and click on Subscribe to Email Updates. 7. ACCESSIBLE FORMATS. This document is available in accessible formats upon request. To obtain paper copies of this Circular as well as information regarding these accessible formats, telephone FTA s Administrative Services Help Desk, at 202 366 4865. Individuals with hearing impairments may contact the Federal Relay Service at 1 800 877 8339 for assistance with the call.

7 /s/ Original Signed By Carolyn Flowers Acting Administrator FTA C Page iii TABLE OF CONTENTS INTRODUCTION AND BACKGROUND .. I-1 1. THE FEDERAL TRANSIT ADMINISTRATION .. I-1 2. AUTHORIZING LEGISLATION AND GUIDANCE.. I-1 3. HOW TO CONTACT FTA.. I-2 4.. I-3 5. DEFINITIONS AND ACRONYMS.. I-3 Circular OVERVIEW .. II-1 1. GENERAL .. II-1 2. APPLICABLE PROGRAM DESCRIPTIONS .. II-1 3. ROLES AND RESPONSIBILITIES OF THE MANAGEMENT OF AWARDS .. II-8 4. CIVIL RIGHTS REQUIREMENTS .. II-11 5. CROSS-CUTTING REQUIREMENTS.

8 II-15 ADMINISTRATION OF THE AWARD .. III-1 1. OVERVIEW .. III-1 2. APPLICATION PROCESS .. III-2 3. REPORTING REQUIREMENTS .. III-3 4. MODIFICATIONS TO THE AWARD .. III-12 5. AWARD III-19 6. SUSPENSION AND TERMINATION .. III-20 7. RETENTION AND ACCESS REQUIREMENTS FOR RECORDS .. III-21 MANAGEMENT OF THE AWARD .. IV-1 1. GENERAL .. IV-1 2. REAL PROPERTY .. IV-1 3. FTA MANAGEMENT AND PROJECT OVERSIGHT OF PROPERTY ACQUISITION .. IV-20 4. EQUIPMENT AND SUPPLIES (INCLUDING ROLLING STOCK) .. IV-20 5. DESIGN AND CONSTRUCTION OF FACILITIES.

9 IV-45 FTA OVERSIGHT .. V-1 1. GENERAL .. V-1 2. PROGRAM OVERSIGHT .. V-1 3. SAFETY OVERSIGHT .. V-3 4. PROJECT OVERSIGHT .. V-5 FINANCIAL MANAGEMENT .. VI-1 1. GENERAL .. VI-1 2. INTERNAL CONTROLS .. VI-1 3. NON-FEDERAL SHARE .. VI-6 4. FINANCIAL VI-6 5. FEDERAL PRINCIPLES FOR DETERMINING ALLOWABLE COSTS .. VI-6 FTA C Page iv 6. INDIRECT COSTS .. VI-9 7. PROGRAM INCOME .. VI-11 8. ANNUAL AUDIT .. VI-14 9. PAYMENT PROCEDURES .. VI-15 10. DEOBLIGATION OF FEDERAL ASSISTANCE .. VI-20 11. DEBT SERVICE RESERVE.

10 VI-20 12. RIGHT OF FTA TO TERMINATE .. VI-20 TABLES, GRAPHS, AND ILLUSTRATIONS 1. APPLICATION OF INSURANCE PROCEEDS: EXAMPLE 1 .. IV-38 2. APPLICATION OF INSURANCE PROCEEDS: EXAMPLE 2 .. IV-39 3. EXAMPLE: LIKE-KIND EXCHANGE .. IV-41 4. EXAMPLE: ROLLING STOCK STATUS REPORT .. E-3 5. EXHIBIT 1: ACH VENDOR/MISCELLANEOUS PAYMENT ENROLLMENT FORM (SF3881) .. H-4 6. INSTRUCTIONS FOR COMPLETING SF 3881 FORM .. H-5 7. EXHIBIT 2: REQUEST FOR ADVANCE OR REIMBURSEMENT (SF-270) .. H-6 8. INSTRUCTIONS FOR COMPLETING SF-270 FORM.