1. finance
2. grants, scholarships and financial aid
3. government grants

Rotary District 7710 Process Manual In Rotary Year 2013-­‐14, the Rotary Foundation’s (TRF) will assist Rotarians in all Rotary Clubs to develop diverse, more effective and efficient projects, with greater impact and sustainable outcomes. The Rotary Foundation will offer 3 types of grants within the Six Areas of Focus: District Grants, Global Grants and Packaged Grants. District grants – District grants fund smaller, short-­‐term activities that address needs in both your local community and communities worldwide. Each district gets to choose which projects it will fund with these grants. Global grants – Global grants support large international activities with sustainable, measurable outcomes in one or more of the six areas of focus. The Rotary Foundation accepts global grant applications on a rolling basis throughout the year. Packaged grants – Packaged grants have been predesigned by Rotary and our strategic partners. The activities they fund are similar to those funded by global grants, but the work of designing the activity’s general framework has already been done. District Grants District Grants (DG) Requirements and Criteria Requirements: Qualified Clubs • Attend Grant Management Seminar (President-­‐Elect and one club designee) • Execute Club Memorandum of Understanding (MOU) • Rotary Year Grant Reports Current Criteria: • Support areas of focus • Domestic or International (If International requires a Host Rotary Club) • Must spend funds in Rotary year • Final report with in Rotary Year • No Foundation matching • District match up to $2K/per club • District Designated Funds (DDF) determines maximum funds available each year • Application requested by May 15th each year • Assures proper stewardship, record keeping, reporting and document retention of grant funds • Surplus rolls to Global Fund Timeline: • February 15, 2013: District Grant Committee sends 1-­‐page DG and GG Proposal Forms to clubs • April 1, 2013: 1-­‐page DG and GG Proposals Forms due from clubs • April 15, 2013: District Grants Committee review completed and forward recommendations to clubs D7710 Grant Process Manual •
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May 15, 2013: Clubs submit their DG Applications to the District Grants Committee June 1, 2013: D7710 prepares their DG Spending Plan sends to TRF July 1, 2013: TRF requirements met for D7710 to receive DDF May 15, 2014: DG projects completed May 31, 2014: DG Final Reports due from clubs June 15, 2014: DG Package sent TRF Global Grants Global Grants (GG) Requirements and Criteria Requirements: Qualified Clubs • Attend Grant Management Seminar (President-­‐Elect and one club designee) • Execute Club Memorandum of Understanding (MOU) • Rotary Year Grant Reports Current Criteria: • Aligns with one or more of the six areas of focus • Must be an International partnership between a Rotary club or district in the country where the activity takes place and a Rotary club or district outside of that country • Can be multi-­‐year projects • Must report every 12 months • World Fund matching • Minimum $30K projects • Maximum $200K • Application flexibility Successful GG: • Performs a community needs assessment to meet the real community needs • Develops a partnership with host club and engages in frequent partner communication • Creates an implementation plan with objectives, measureable goals & outcomes • Identifies and develops sustainability measures to ensure projects continue after grant funds have been expended • Assures proper stewardship, record keeping, reporting and document retention of grant funds Timeline: • February 15, 2013: District Grant Committee sends 1-­‐page GG Proposal Forms to clubs • April 1, 2013: GG Proposals Forms due from clubs • April 15, 2013: District Grants Committee review completed, forward recommendations to clubs and the club is eligible to submit a GG Application • July 1, 2013 – March 15, 2014: GG Applications may be submitted throughout the Rotary year Page 2 of 11 D7710 Grant Process Manual Financial Management Plan Based upon the District Memorandum of Understanding (DMOU) and individual Rotary Club’s Memorandum of Understanding (CMO regarding the request for, disbursement of, and governance of financial grants made by the Grants Committee of Rotary District 7710, the following actions are required. District 7710 must have a written financial management plan to provide consistent administration of grant funds. This financial management plan will include procedures to: 1. Maintain a standard set of accounts, which includes a complete record of all receipts and disbursements of grant funds. These accounts will be prepared and maintained by The Chair of the District Rotary Foundation Committee 2. Disburse grant funds, as appropriate. The decision to approve and disburse funds shall be taken after the Grants committee have discussed and voted upon applications from Rotary Clubs requesting such grants. A majority decision of the Grants committee on any single application is required before disbursement of the grant related to that application. The majority decision shall be in writing and be retained as part of the grant documentation records. Approval of individual grants also requires the signature of the Chair of the District Rotary Foundation Committee and the District Governor. 3. The role the Chair of the District Rotary Foundation Committee shall not be combined with that of The Grant Fund Administrator (GFA). 4. The Grant Fund Administrator (GFA) shall be appointed by the District Rotary Foundation Chair (DRFC) and shall establish, and maintain, an inventory system for equipment and other assets purchased with any grant funds, and maintain records for items that are purchased, produced, or distributed through grant activities, when the grant is administered within District 7710. The GFA will also provide additional services as defined by the DRFC, e.g., document retention and District Stewardship interface. 5. The Grant Committee shall ensure that all grant activities, including the conversion of funds, comply with the laws of North Carolina, the USA. 6. Annual Financial Assessment The financial management plan and its implementation shall be assessed annually. A financial assessment is an evaluation of financial controls and compliance. The district shall choose either an independent firm or the district Council of Governors acting as the district Rotary Foundation audit committee to conduct the annual financial assessment. The annual financial assessment is substantially smaller in scope than an audit or review, and includes: 1. Confirmation that the district adhered to its financial management plan 2. An examination of expenditures for district grants, district-­‐sponsored global grants, and district-­‐sponsored packaged grants that includes: Page 3 of 11 D7710 Grant Process Manual a. Reconciling a selection of Grant disbursements against their supporting documentation and the District Foundation bank account b. Reviewing the grant report documentation to ensure that funds were expended in a manner consistent with the terms and conditions of the grant award c. Confirming that a competitive bidding process was conducted for all
significant expenditures d. Reviewing the process to disburse funds to ensure that proper controls have been maintained 3. A determination that all financial transactions and project activities related to the grant were conducted at least at the level of standard business practices: a. Confirmation of adherence to TRF document retention requirements b. Other procedures that the district Rotary Foundation audit committee or an independent firm deems necessary 4. A report of the findings from the annual financial assessment, which must be given to clubs in the district within three months of the end of each Rotary year. 5. If the district authorizes the district Rotary Foundation audit committee to conduct the assessment, the committee may not include individuals directly involved with TRF grants and must meet the requirements found in the RI Bylaws, including: a. Have at least three members b. Have at least one member who is a past governor or a person with audit experience 7. Bank Account Requirements In order to receive grant funds, the district shall have a dedicated, district-­‐controlled bank account (“The District grant bank account” that is used solely for receiving and disbursing TRF grant funds. A. The district grant bank account must 1. Have a minimum of two Rotarian signatories from the district for disbursements, one of whom will be the Chair of the District Rotary Foundation the other to be the District Governor 2. Be a low-­‐ or noninterest-­‐bearing account B. Any interest earned must be documented and used for eligible, approved grant activities, or returned to TRF. C. Maintain a general ledger that separates funds according to each project. A separate accounting should be maintained for each district-­‐sponsored grant and financial transactions for these individual accounts may be combined in the District grant bank account and the name of the account should clearly identify its use for grant funds. D. Grant funds may not be deposited in investment accounts including, but not limited to, mutual funds, certificates of deposit, bonds, and stocks. E. Bank statements must be available to support receipt and use of TRF grant funds. F. The district must maintain a written plan for transferring custody of the bank accounts in the event of a change in leadership. Page 4 of 11 D7710 Grant Process Manual 8. Report on Use of Grant Funds In recognition that grant reporting is a key aspect of grant management and stewardship, district 7710 shall set up a grant reporting process. A. District 7710 must report to its clubs on the use of all district designated funds (DDF) to their member clubs by 1. Providing a report annually at a district meeting to which all clubs are invited or eligible to attend that includes a breakdown of expenditures for each project that received funding and the names of districts, clubs, and individuals who received grant funds 2. Including financial information on such grants in the governor’s final monthly communication B. The district must adhere to all TRF grant-­‐reporting requirements. 9. Individual Club grant financial management A. An individual Rotary Club that has applied for, and received a Rotary Foundation grant will maintain a bank account to be used only for Rotary Foundation grant funds in accordance with applicable laws. 1. The account should be low or noninterest-­‐bearing, and any interest earned must be documented and used on eligible, pre-­‐approved grant activities or returned to TRF or the district. 2. Grant funds may not be deposited in investment accounts including but not limited to: mutual funds, certificates of deposits, bonds, and stocks. 3. Two Rotarian signatories are required on checks and withdrawals. 10. Document Retention The Grant Fund Administrator (GFA) shall establish and maintain appropriate recordkeeping systems to preserve important documents related to qualification and TRF grants. Retaining these documents supports transparency in grant management and assists in the preparation for audits or financial assessments. A. Documents that must be maintained include, but are not limited to 1. Bank information, including copies of past statements 2. Club qualification documents, including: a. Signed club MOUs b. Club attendance records for grant management seminar 3. District grant, district-­‐sponsored global grant, and district-­‐sponsored packaged grant information, including: a. Information collected from clubs and entities receiving district grant funds b. Receipts and invoices for all purchases made with grant funds 4. Documented plans and procedures, including: a. District 7710 Financial management plan b. Procedure for storing documents and archives c. Succession plan for bank account signatories and retention of information and documentation d. System to track reports of misuse and/or mismanagement of grant funds 5. Annual report from the financial assessment and use of grant funds B. District 7710’s records must be accessible and available to Rotarians in the district. Page 5 of 11 D7710 Grant Process Manual C. Documents must be maintained for a minimum of five years, or longer if required by local law. 11. Method for Reporting and Resolving Misuse of Grant Funds The qualification process requires districts to track, investigate, and resolve reports of misuse or mismanagement of grant funds. By creating a plan before any allegations of misuse are made, the district can apply procedures consistently and foster an environment that does not tolerate misuse of funds. A. District 7710 will create a system to facilitate and track reports of misuse and/or mismanagement of grant funds. B. District 7710 will promptly investigate reports of misuse or mismanagement of grant funds. C. District 7710 will report any potential or substantiated misuse or mismanagement of grant funds to TRF. 12. Individual Rotary Club procedures Based on the requirement that individual Rotary clubs must have a minimum of two members (one of which must be the president elect) complete a training program regarding the Rotary Foundation and its grant structure, Clubs must have signed the Club Memorandum of Understanding (CMOU). The CMOU requires the club to operate under a set of specific procedures. Failure to do so will bar a club from future grant activity. Where several clubs combine their support and funding under one grant, there must be a lead club who undertakes the responsibility of meeting documentation and administration requirements. The Grant Fund Administrator (GFA) shall be responsible for tracking compliance at the Club level and making the District 7710 Grants Committee Chair (DGC) aware of the documentation status. The Club is required to: A. Create a financial management plan that includes measures to 1. Maintain a standard set of accounts, including a complete record of all receipts and disbursements, and maintain receipts for all expenditures 2. Disburse grant funds, as appropriate, directly to Rotarians, vendors, and beneficiaries as approved in the grant application. Grant funds not immediately disbursed must be kept in the established project account without diversion, except for direct payment for grant activities or to return funds to the district or TRF. 3. Maintain separate statements of income and expenses, noting interest earned and recoveries if applicable. 4. Maintain a general ledger that separates funds according to each project 5. Establish an inventory system for the control of equipment and other assets purchased with grant funds, and maintain records for items that are purchased, produced, or distributed through grant activities. 6. Perform monthly bank reconciliations. 7. Maintain a plan for transferring the custody of the bank accounts in the event of a change in leadership. 8. Ensure all grant activities, including the conversion of funds, are in accordance with local law. Page 6 of 11 D7710 Grant Process Manual B. Retain documents: The club must create a document maintenance system or club archives to maintain original documents for a minimum of five years or longer if required by applicable law, including, but not limited to: 1. Documents relating to qualification 2. All records and documentation of policies and procedures required by the club MOU 3. Documentation related to grants, including original documents for all grants, copies of proposals and applications, copies of grant agreements, copies of reports submitted to TRF and the district, receipts and invoices for all purchases made with grant funds, written or electronic correspondence 4. Documents must be stored in a known location that is accessible to club Rotarians and must be provided to TRF or the district upon request or in the case of an audit C. Report on Use of Grant Funds The club must report on the use of grant funds as outlined in the Terms and Conditions for Rotary Foundation District Grants and Global Grants. D. Method for Reporting and Resolving Misuse of Grant Funds The club must report any potential misuse or irregularities in grant-­‐related activity to the district. Developing Sustainable Projects TRFs’ definition for sustainability is the capacity for maintaining outcomes long-­‐term to serve the ongoing needs of a community after grant funds have been expended. 1/. The key factor here is capacity. Following are the steps for designing, monitoring and evaluating Rotary funded Global Grants. Step I: Project Proposals originate from several sources. The usual sources are from Hosts around the world. The problems that need to be resolved are embedded in the minds of those who live with problems that exist within their community infrastructure. Hosts live with these problems every day. Having said this, however, we should not overlook project ideas from Rotarians who have traveled abroad and who may have established relationships with local community leaders. Establishing a Project Purpose, therefore, is the first priority in project design. This is the reason for funding, planning and material support necessary to resolve a given problem. The statement of purpose is brief and concise. It also needs to be clear to those not directly affiliated with the project design. The justification or rationale for the project may vary depending on the complexity of the project. It is a judgment call by those who will manage the project as to how to frame the project. Nevertheless there needs to be sufficient detail to enable the project manager to determine the parameters of the activity when ultimately evaluating the project. Page 7 of 11 D7710 Grant Process Manual The project application is initially prepared by the Host. Changes may be made following review by the international partner in collaboration with the Host. The justification of the project needs to address the question, “What does the project aspire to achieve?” It also begs the question as to what is needed in the way of funding and material support for the project to succeed. The project purpose also needs to fit the values and culture of the host community and its capability to maintain the project in the future. Step II At this stage of design it is necessary to establish “End of project Indicators”. These are objectively verifiable conditions expected at the end of the project that will signal the successful completion of the project as intended by the Host and International Partner. These are the indicators that will create a sustainable framework on which to judge the project’s success. The reason for selecting these indicators at the outset of project design is to ensure that we are evaluating the project on criteria that specifically relate to the project purpose. Otherwise we may be evaluating project criteria for an activity that has deviated from its intended course, but continues to resemble the original purpose. These indicators are related to outputs generated by the project. They are the long-­‐term results of specific outputs. For example, water systems that will continue to provide potable water on demand from wells that are adequately maintained. Another example is an education/literacy project that needs to have adequate training capability in the future for its teachers to continue to provide instruction that the project envisioned. Health projects need to be designed to provide on-­‐going care long after the project funds are expended. For projects that provide medical or other equipment one needs to look at the capacity of the host to continue to properly utilize and maintain the equipment into the future. Outputs such as books, computers, water pumps, and other material aids are not the outputs that necessarily spell success for a project. However, they are important building blocks that are necessary to achieve the project purpose. Their mere presence is not sustainability. An important element in any design are the assumptions that project managers make in creating the design. They need to be identified and clearly stated. These will also be an integral part of the evaluation process as they will demonstrate whether the design may have been based on tentative criteria that need to be better understood. Step III Implementation by the international partner including the securing of funds, materials and supplies required to achieve the expected results of the project. Funding by partners, including the host, is basic to the project’s success. While a majority of funding will come from international partners, it is important that the host provide a share of the cost. Commitment to a project is often related to one’s “skin in the game”. Page 8 of 11 D7710 Grant Process Manual Implementation by the Host expected in the application includes requirements such as approvals by local jurisdictions for the use of facilities, i.e. easements for water pipes and sanitary locations. If international delivery of equipment and supplies are called for, arrangements for clearing customs is essential. Arrangements need to be made for the maintenance of equipment that may be called for in the project design. In addition, responsibility for training needs to be spelled out clearly to ensure that the project purpose will be secured. In the event that hands-­‐on requirements are part of the project, the Host will need to provide evidence that local skilled personnel are available and willing to complete the job. The role of the Host Rotary club needs to be spelled out as well. Step IV The final phase of project monitoring is evaluation. One needs to take note of the end of project indicators (Phase II) and examine the evidence that has been produced. Hopefully the results will show that we have achieved our project purpose. There will be times, however, when this result will not be achieved as expected, but the exercise should tell us why we missed our goal. When working in cultures that do not parallel ours, miscues will sometimes occur. It is beneficial when project managers who have been involved with the design of a project are able to do the evaluation as well. There may be some controversy regarding a possible conflict of interest. International Agencies have demonstrated that project managers have done a credible job of evaluation on their “own projects”. Moreover, over the long term it may not be possible to utilize “others” to follow -­‐up on the evaluation of every global grant. It may be prudent, therefore, to send teams to evaluate a few of the grants. But, this is a funding problem that may have to be resolved by TRF. The Evaluation process is largely dependent on the clarity of the design in identifying End of Project Conditions. If these conditions are clear and concise the evaluation process is enabled. 1/. This definition is taken from Abt SRBI’s report to TRF Rotary District 7710 Club Grant Eligibility Requirements This document is the official Memorandum of Understanding (MOU) provided by The Rotary Foundation (TRF) for clubs participating in the district grants program. It is an agreement between the club and its district, explaining what measures the club will undertake to ensure proper implementation of global grant activities and management of Rotary Foundation District and Global Grant funds. By authorizing this document, the club agrees that it will comply with all Foundation requirements. 1. Terms of Qualification A. Upon successful completion of the qualification requirements, the club will receive qualified status for a period of one year. 1. Sign a Club MOU with the district annually (Club President-­‐Elect and one other club designee) Page 9 of 11 D7710 Grant Process Manual 2. The President-­‐Elect and one other club must attend one of the District Grants Management Seminars. B. By entering into this agreement and receiving Rotary Foundation grant funds, the club understands and confirms that the club, as an entity, is responsible for the use of grant funds, regardless of which individual(s) or group controlled the funds. C. The club must disclose any potential conflicts of interest and must comply with the Conflict of Interest Policy for Grant Participants as outlined in section 7.030. of the Rotary Foundation Code of Policies. D. The club must cooperate with all district and TRF audits. 2. Club Leadership Responsibilities for Qualification A. A club member must be appointed to manage club qualification and ensure that stewardship measures and proper grant management practices are implemented for all TRF grants. B. The club must establish a succession plan for the transfer of grant records to ensure retention of information and documentation. C. Clubs in D7710 must attend the grants management training and sign the MOU to participate and receive funds in either or both the District and Global Grant Funds. The President-­‐Elect and one other club designee must attend. 3. Financial Management A. The club must maintain a bank account to be used only for Rotary Foundation Global Grant funds in accordance with applicable laws. 1. The account should be low or noninterest-­‐bearing, and any interest earned must be documented and used on eligible, pre-­‐approved grant activities or returned to TRF or the district. 2. Grant funds may not be deposited in investment accounts including but not limited to: mutual funds, certificates of deposits, bonds, and stocks. 3. Two Rotarian signatories are required on checks and withdrawals. B. The club must create a financial management plan that includes measures to 1. Maintain a standard set of accounts, including a complete record of all receipts and disbursements, and maintain receipts for all expenditures equal to or over US$75 or more (or those of any amount required by applicable law). 2. Disburse grant funds, as appropriate, directly to Rotarians, vendors, and beneficiaries as approved in the grant application. Grant funds not immediately disbursed must be kept in the established project account without diversion, except for direct payment for grant activities or to return funds to the district or TRF. 3. Maintain separate statements of income and expenses, noting interest earned and recoveries if applicable. 4. Maintain a general ledger that separates funds according to each project 5. Establish an inventory system for the control of equipment and other assets purchased with grant funds, and maintain records for items that are purchased, produced, or distributed through grant activities. 6. Perform monthly bank reconciliations. Page 10 of 11 D7710 Grant Process Manual 7. Maintain a plan for transferring the custody of the bank accounts in the event of a change in leadership. 8. Ensure all grant activities, including the conversion of funds, are in accordance with local law. 4. Document Retention A. The club must create a document maintenance system or club archives to maintain original documents for a minimum of five years or longer if required by applicable law, including, but not limited to: 1. Documents relating to qualification 2. All records and documentation of policies and procedures required by the club MOU 3. Documentation related to grants, including original documents for all grants, copies of proposals and applications, copies of grant agreements, copies of reports submitted to TRF and the district, receipts and invoices for all purchases made with grant funds, written or electronic correspondence B. Documents must be stored in a known location that is accessible to club Rotarians and must be provided to TRF or the district upon request or in the case of an audit 5. Report on Use of Grant Funds The club must report on the use of grant funds as outlined in the Terms and Conditions for Rotary Foundation District Grants and Global Grants. 6. Method for Reporting and Resolving Misuse of Grant Funds The club must report any potential misuse or irregularities in grant-­‐related activity to the district. 7. Authorization and Agreement We, being responsible for administering grant activities for the Rotary Club of ______________________________________________________________________________________________, certify that the club adheres to the requirements listed in this Memorandum of Understanding and will notify Rotary International District 7710 of any changes or revisions to club policies and procedures related to these requirements. Page 11 of 11