Navigating ARRA: alternative funding in tough times.

• Author: Malyska, Robert
• Position: American Recovery and Reinvestment Act

The American Recovery and Reinvestment Act (ARRA) is making millions of dollars available to jump-start the economy by funding projects that will create or retain jobs, especially in science, engineering research and infrastructure, education, alternative energy, energy efficiency and other green projects.

Our experiences across the United States tell us that there is a high level of corporate interest in ARRA funding and incentives.

For some companies, ARRA grants represent a way to retain employees and survive the recession; for others, the grants are a way to partner with the government to bring advanced technology to market or to acquire additional capacity. Regardless of why they are attracted to these incentives, many companies arc making their first, eye-opening foray into navigating the U.S. government procurement system--and they're scrambling to find a compass that will guide them through the process.

Whether previously initiated into the government's unique business environment, understanding the ARRA's specific reporting and compliance requirements will allow you to help your clients whose projects receive these funds to stay on course and, most importantly, speed the receipt of money without running afoul of the myriad regulations associated with doing business with the government.

Getting--and Keeping--ARRA Funding

Demonstrating compliance with requirements is critical to successfully dealing with the government, whether when applying for a grant, managing ARRA funds received or reporting the status of activities performed using these funds. Companies receiving ARRA funds must ensure that their internal control and business systems are capable of satisfying ARRA requirements. In fact, agency-specific rules may require that recipients make their systems available for government audit within six months of the grant to allow the government to evaluate the recipient's ability to manage and protect government funds and any capital assets that are acquired using ARRA funds. In some situations, the receipt of funds could be contingent on the correction of deficiencies identified during this assessment.

Reporting Requirements

A widely publicized requirement is that companies must report to the government the number of jobs either created or saved using ARRA. funds. What many people don't realize is that the jobs report must be provided to the government within 10 calendar days after the end of each quarter. This can be a daunting...