For non-construction subawards, prior FEMA approval is required for the following reasons:[223]
- A change in a key person specified in the application or the federal award.
- The disengagement from the project for more than three months or a 25% reduction in time devoted to the project by the approved project director or principal investigator.
- The inclusion, unless waived by FEMA, of costs that require prior approval in accordance with 2 CFR Part 200, Subpart E, as applicable.
- The transfer of funds budgeted for participant support costs to other categories of expense.
- The need arises for additional federal funds to complete the project.
- The transfer of funds within the budget among direct cost categories, functions and activities for federal awards in which the federal share of the project exceeds the simplified acquisition threshold. Additionally, the cumulative amount of such transfers exceeds or is expected to exceed 10% of the total budget as last approved by FEMA. Any subaward adjustment or transfer must be consistent with the scope of the award.