Section 1-5001. DISTINCTION BETWEEN A PROCUREMENT AND A SUBGRANT

 

5001.1Procurement means the obtaining by contract of property, supplies, or services (including construction) by or for the District through purchase or lease, whether the supplier or services are already in existence or must be created, developed, demonstrated, or evaluated, and includes the establishment of agency needs, solicitation of sources, award of contracts, contract financing, contract performance, contract administration, and those technical and management functions related to the process of fulfilling agency needs by contract.

 

5001.2A grant is financial assistance to an organization to support or stimulate the accomplishment of a public purpose as defined by the law that authorizes the grant. For purposes of this chapter, a subgrant is the award of grant funds by the District to a subrecipient organization to accomplish the same public purpose.

 

5001.3In determining whether a procurement or a subgrant is the proper mechanism for a District agency to award funds to a private organization or another public agency, agencies shall apply the following criteria. If the answers to (a) - (c) are “yes,” then a subgrant is appropriate.

 

(a)Is there a statute that authorizes the District agency to support or stimulate the activity of the subgrantee and authorizes the subgrant?

 

(b)Is the principal purpose of the relationship the transfer of money, property, services, or anything of value to the subgrantee to accomplish a public purpose of support and stimulation authorized by statute, rather than an acquisition of goods or services for the direct benefit of the District government?

 

(c)Does the applicant, not the District, define the specific services, the service levels, and the program approach for carrying out the subgrant?

 

source

Final Rulemaking published at 46 DCR 4517-18 (May 21, 1999).