 U.S. Department of Transportation Federal Highway Administration |
MEMORANDUM |
| Subject: | Limitation on Use of Grant or Contract Funds for Lobbying | Date: | February 7, 1990 |
| From: | Acting Associate Administrator for Engineering and Program Development | Refer To: | HHO-32 |
| To: | Regional Federal Highway Administrators Division Administrators Federal Lands Highway Program Administrator |
||
By memorandum of December 22, 1989, you were provided notice of interim final guidance issued by the Office of Management and Budget (OMB), pertaining to new governmentwide restrictions on lobbying. The lobbying restrictions were established by Section 319 of Public Law 101-121 (Department of the Interior and Related Agencies Appropriations Act for Fiscal Year 1990). The interim final guidance is to be used to implement the lobbying provisions until a Department of Transportation "common rule" can be formally issued.
The law prohibits Federal funds from being expended by the recipient or any lower tier subrecipients of a Federal contract, grant, loan, or cooperative agreement to pay any person for influencing or attempting to influence a Federal agency or Congress in connection with the awarding of any Federal contract, the making of any Federal grant or loan, or the entering into of any cooperative agreement. The extension, continuation, renewal, amendment or modification of any Federal contract, grant, loan, or cooperative agreement is also covered.
The prohibition does not apply to payments for certain activities and services described in Subparts B and C of the OMB Interim Final Guidance (copy attached). Excluded are payments for certain agency and legislative liaison activities (Subpart B, Section__.200) and certain professional and technical services (Subpart B, Section__.205, and Subpart C, Section__.300).
For the Federal-aid Highway, Highway Safety (402) and Commercial Driver License (CDL) programs, the interim final guidance has the following impacts:
- A State agency, prior to receiving grant funds in excess of $100,000 per grant, must submit to the FHWA Division Administrator (DA), a certification (Appendix A) that it has not and will not make any prohibited payments for lobbying. If the State agency has made or agreed to make a payment using non-Federal funds which would be prohibited if paid for with Federal grant funds, it must also submit a completed disclosure form (Appendix B).
- For the Federal-aid Highway and Safety (402) programs, the State agency receiving the program funds shall submit an annual certification and, if required, a disclosure form prior to receiving grant funding for FY 1991 and subsequent years, to the DA for each program prior to receipt of grant funds. For convenience, State agencies may wish to consider a joint submission of this certification with the drug-free workplace certification which was addressed in my memorandum dated February 24, 1989, Subject: Drug-Free Workplace--Interim Final Rule.
- For the CDL Program, the State agency administering this program shall submit its certification and, if required, a disclosure form as a part of its grant application or modification thereto, for grants in excess of $100,000. Since the CDL Basic and Clearinghouse Grants are never in excess of $100,000, this certification/disclosure requirement will only have applicability to State agencies receiving CDL Supplemental Grant funds under Part I and Part II of the formula distribution of funds when such exceed $100,000 per grant.
- Local agencies, metropolitan planning organizations, and any other subgrantees (exclusive of Indian tribes, and tribal or Indian organizations) which receive Federal funds in excess of $100,000 from a Federal-aid grant, shall execute a certification (Appendix A) and, if required, submit a completed disclosure form (Appendix B) prior to receipt of such funds.
- Federal-aid contractors, and consultants, as well as lower tier subcontractors and subconsultants are also subject to the lobbying prohibition. To assure compliance, a certification provision (Appendix C) shall be included in all Federal-aid construction solicitations and contracts, and consultant agreements exceeding $100,000 in Federal funds. Implementation of this requirement shall begin with PS&E and consultant agreement approvals as soon as practical after receipt of this memorandum.
- State agency certifications will be kept on file in the FHWA Division Offices. Lower tier certifications should be maintained by the next tier above (i.e., prime contractors will keep the subcontractors' certification on file, etc.).
- Disclosure forms submitted by lower tier recipients, shall be forwarded to the DA by the State agency recipient. The DA will forward all disclosure forms to the Contract Administration Branch (HHO-32) for further processing in accordance with OMB guidance.
- During the period of performance of a grant or contract, recipients and subrecipients must file a disclosure form at the end of each calendar year quarter in which there occurs any event that requires disclosure or that materially affects the accuracy of the information contained in any previously filed disclosure form. Events that are considered to materially affect the accuracy of information reported are described in Subpart A, Section .110(c) of the OMB Interim Final Guidance.
Please provide a copy of this memorandum to State agency personnel so that they are fully aware of what is required. Questions or comments may be directed to Al Rockne, HHO-32 (FTS 366-1562). For CDL Program information, call Charlyne Schofield, HPN-11 (FTS 366-5012).
/s/ original signed by
Norman J. VanNess
for Thomas O. Willett
Attachment
APPENDIX A
Certification for Grants, Loans, and Cooperative Agreements
The undersigned certifies, to the best of his or her knowledge and belief, that:
(1) No Federal appropriated funds have been paid or will be paid, by or on behalf of the undersigned, to any person for influencing or attempting to influence an officer or employee of any Federal agency, a Member of Congress, an officer or employee of Congress, or an employee of a Member of Congress in connection with the awarding of any Federal contract, the making of any Federal grant, the making of any Federal loan, the entering into of any cooperative agreement, and the extension, continuation, renewal, amendment, or modification of any Federal contract, grant, loan, or cooperative agreement.
(2) If any funds other than Federal appropriated funds have been paid or will be paid to any person for influencing or attempting to influence an officer or employee of any Federal agency, a Member of Congress, an officer or employee of Congress, or an employee of a Member of Congress in connection with this Federal contract, grant, loan, or cooperative agreement, the undersigned shall complete and submit Standard Form-LLL, "Disclosure Form to Report Lobbying," in accordance with its instructions.
(3) The undersigned shall require that the language of this certification be included in the award documents for all subawards at all tiers (including subgrants, and contracts and subcontracts under grants, subgrants, loans, and cooperative agreements) which exceed $100,000, and that all such subrecipients shall certify and disclose accordingly.
This certification is a material representation of fact upon which reliance was placed when this transaction was made or entered into. Submission of this certification is a prerequisite for making or entering into this transaction imposed by Section 1352, Title 31, U.S. Code. Any person who fails to file the required certification shall be subject to a civil penalty of not less than $10,000 and not more than $100,000 for each such failure.
APPENDIX C
Certification for Federal-Aid Contracts
The prospective participant certifies, by signing and submitting this bid or proposal, to the best of his or her knowledge and belief, that:
(1) No Federal appropriated funds have been paid or will be paid, by or on behalf of the undersigned, to any person for influencing or attempting to influence an officer or employee of any Federal agency, a Member of Congress, an officer or employee of Congress, or an employee of a Member of Congress in connection with the awarding of any Federal contract, the making of any Federal grant, the making of any Federal loan, the entering into of any cooperative agreement, and the extension, continuation, renewal, amendment, or modification of any Federal contract, grant, loan, or cooperative agreement.
(2) If any funds other than Federal appropriated funds have been paid or will be paid to any person for influencing or attempting to influence an officer or employee of any Federal agency, a Member of Congress, an officer or employee of Congress, or an employee of a Member of Congress in connection with this Federal contract, grant, loan, or cooperative agreement, the undersigned shall complete and submit Standard Form-LLL, "Disclosure Form to Report Lobbying," in accordance with its instructions.
This certification is a material representation of fact upon which reliance was placed when this transaction was made or entered into. Submission of this certification is a prerequisite for making or entering into this transaction imposed by Section 1352, Title 31, U.S. Code. Any person who fails to file the required certification shall be subject to a civil penalty of not less than $10,000 and not more than $100,000 for each such failure.
The prospective participant also agrees by submitting his or her bid or proposal that he or she shall require that the language of this certification be included in all lower tier subcontracts, which exceed $100,000 and that all such subrecipients shall certify and disclose accordingly.