USAID grant templates
The requirements of USAID grants
Working with US Government-funded awards (grants and cooperative agreements) from USAID involving local partners (such as CSOs and NGOs) requires us to use different partnership templates specifically designed for USAID-funded projects. The contractual relationship and compliance environment is different from other WaterAid donors. We are specifically required to use specific clauses and terms and conditions for the management, implementation and oversight of these funds when involving local partners (sub-grantees).
We have specifically created three types of award agreement templates that can be used to engage local partners – each type of template is briefly described below. You can find additional guidance in the 'Using and managing local subgrants manual' that is designed for codification of our approach to managing local subgrants under USAID funding for each specific project (please contact [email protected] for a copy of the manual).
Agreement template for cost-reimbursable subgrant to non-US NGOs and for-profits
The Standard Grant is a fully cost-reimbursable grant agreement and should only be used for a grantee with adequate financial, administrative and management capability to appropriately manage cost-reimbursable grant funds. Additionally, the agreement is more complicated than are other formats as the full volume of the Standard Provisions for Non-U.S. Nongovernmental Organizations or U.S. Nongovernmental Organizations are required and attached to the grant document, in addition to other provisions from WaterAid’s prime award. The Standard Grant is not limited by value or type of cost.
Agreement template for fixed amount award
The Fixed Amount Award (FAA) is characterised by a focus on programmatic accomplishments that are easily identified and quantified. It is used when proposed grant activities have very well-defined programme elements and milestones that are finite in duration and easily tied to fixed cost amounts that can be determined in advance. Under this mechanism, we provide a set level of financial support based on pre-award negotiation of grant activity costs. Accountability is based primarily on performance and results.
A FAA may be used if the project scope is specific and if adequate cost, historical or unit pricing data are available to determine that deliverables are reasonably priced and necessary to accomplish the objects of the activity. Due diligence in the planning and pre-award stages of such awards is essential to ensure costs are allowable. Subsequently, actual costs incurred do not need to be reported, as all costs are covered by agreed payments of milestones.
Agreement template for WaterAid in-kind grant
Under an In-kind Grant, disbursements are never made directly to the grantee because we procure all necessary commodities and services on behalf of the grantee. This does not mean, however, that the grantee is not an active partner in deciding how the funds are to be utilised. A grantee can provide valuable input as to what is needed to complete the objectives of the grant and provide technical completion of the grant by verifying the delivery of goods or completion of services as needed.
Meanwhile, we will ensure the integrity of any procurement process by conducting procurement and make payments directly to vendors. Under In-kind Grants the project ensures all procurement carried out under the In-kind Grant agreement is done in compliance with USAID’s procurement regulations and WaterAid’s procurement policies. No funds are directly given to grantees under an in-kind grant agreement.
Why do we have a template folder?
We have created specific templates to help guide and facilitate your management of local subgrants under US Government funding. The forms and their use have been incorporated into our manual Using and managing local subgrants. Some of the forms have their own specific instructions and guidance included in them, while others are specifically mentioned in the manual to aid your use and application. You may not use every form in the performance of a USAID-funded project. Some forms may not be used based on the type of agreement template used with the local partner(s). If you have questions on how to use the forms or need clarification, please contact us for further instruction and guidance.