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National Emergency Grants Incremental Funding

As noted previously, applicants should expect that all NEG awards will be funded incrementally. In these cases, a maximum funding level will be approved by the Secretary, but a lesser amount will be initially awarded. The grantee will be required to submit, at a later date, a request(s) for the balance of needed funds, as supported by enrollments and expenditures. The maximum approved "up to" amount is not a commitment on the part of the Department to release the full amount when such funds are not documented as needed.

The number of funding increments will be determined by the ability to develop a confident projection of full funding needs, whether there have been prior performance issues with the grantee or the project operator(s), or where the grantee and/or project operators do not have previous experience with NEGs or with projects of the size or complexity of the one proposed in the application. Prior performance issues can include: participant and/or expenditure levels, performance outcomes, and compliance problems in project implementation. Resolution of applicable compliance or technical assistance issues will be a condition of the grant award and a pre-condition for receipt of additional funding increments.