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Lobbying and Litigation Grants and Debarment US EPA Page 2 of 2 Noti6p, of Grant Award The grant award document is the official notification to the applicant that a project has been funded . Each grant award Is authorized by statute , For example, In the sample grant award in this manual the authorizing legislation is Clean AIr Act, Section 103 . Each award also cites particular regulations that authorize its issuance . The final sources of requirements imposed on projects supported by Federal grants are the specific terms and conditions- that are attached to an individual grant and incorporated into the formal award document. These terms and conditions may include the basic purpose of the award , policy statements , and OMB Circulars . These latter materials may be Incorporated by reference . By accepting the award every grant recipient agrees to comply with everything incorporated by reference on the award document , Grantee Organization Responsibility In applying for grant support, the grantee organization agrees to administer any awarded grant in accordance with the regulations and current policies that govern the assistance programs of the EPA . Acceptance of an award imposes upon the grantee organization and the project manager responsibility for conducting the project and using grant funds prudently and in accordance with cost principles , for the purposes set forth in the approved application . The grantee assumes responsibility for the fiscal and administrative management of the project and fulfillment of any special terms or conditions of award that may be prescribed for conducting the project . As noted under the previous section on " Notice of Grant Award , " the grantee indicates acceptance of the general and special provisions of an award by signing and returning the award document. The grantee organization Is not required to guarantee the success of the project, nor are penalties generally imposed for lack of success in attaining environmental outcomes . However, in certain situations , EPA may take action to resolve problems or weaknesses that arise during the course of the project ( see " Recipients Roles and Responsibilities during Post Award" section for further information ) . Legal Implication of Application The signature of an authorized organizational official on the application indicates the organization ' s intent to comply with the laws , regulations , and policies to which a grant is subject , Including applicable public policy requirements . That official is also attesting to the fact that the information contained in the application is true and complete , and in conformance with Federal requirements and the organization ' s own policies and requirements . Applicants for and recipients of EPA grant funds , whether such funds are received directly from EPA , indirectly under a contract agreement , or as student assistance under a training grant, are responsible for and must adhere to all applicable Federal statutes , regulations , and policies , including income tax regulations . Questions concerning the applicability of Income tax regulations to grant funds should be directed to the Internal Revenue Service ( IRS ) . The applicant is also expected to be in compliance with applicable State and local laws and ordinances , Previous Pa a Table of Contents Next Page Cross Cutting Public Policies �— Table Federal Grant and Cooperative _grerSg Act of 1977 http ; //www . epa. aov/og. d/recipient/lobby .htm 6/24/2008