7 CFR 277.6 - Standards for financial management systems.

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There are 2 Updates appearing in the Federal Register for 7 CFR 277. View below or at eCFR (GPOAccess)
§ 277.6 Standards for financial management systems.
(a) General. This section prescribes standards for financial management systems in administering program funds by the State agency and its subagencies or contractors.
(b) Responsibilities. Financial management systems for program funds in the State agency shall provide for:
(1) Accurate, current, and complete disclosure of the financial results of program activities in accordance with Federal reporting requirements.
(2) Records which identify the source and application of funds for FNS or State agency activities supporting the administration of the Program. These records shall show authorizations, obligations, unobligated balances, assets, liabilities, outlays and income of the State agency, its sub- agencies and agents.
(3) Records which identify unallowable costs and offsets resulting from FNS or other determinations as specified in § 277.16 and the disposition of these amounts. Accounting procedures must be in effect to prevent a State agency from claiming these costs under ongoing program administrative cost reports.
(4) Effective control and accountability by the State agency for all program funds, property, and other assets acquired with program funds. State agencies shall adequately safeguard all such assets and shall assure that they are used solely for program authorized purposes unless disposition has been made in accordance with § 277.13.
(5) Controls which minimize the time between the receipt of Federal funds from the United States Treasury and their disbursement for program costs. In the Letter of Credit system, the State agency shall make drawdowns from the U.S. Treasury through a U.S. Treasury Regional Disbursing Office as nearly as possible to the time of making the disbursements.
(6) Procedures to determine the reasonableness, allowability, and allocability of costs in accordance with the applicable provisions prescribed in appendix A to this part.
(7) Support and source documents for costs.
(8) An audit trail including identification of time periods, initial and summary accounts, cost determination and allocation procedures, cost centers or other accounting procedures to support any costs claimed for program administration.
(9) Periodic audits by qualified individuals who are independent of those who maintain Federal program funds as prescribed in § 277.17.
(10) Methods to resolve audit findings and recommendations and to follow up on corrective or preventive actions.
(c) The standards in § 277.6(b) apply to subagencies or contractors involved with program funding.

Title 7 published on 2014-01-01

The following are only the Rules published in the Federal Register after the published date of Title 7.

For a complete list of all Rules, Proposed Rules, and Notices view the Rulemaking tab.

  • 2014-05-19; vol. 79 # 96 - Monday, May 19, 2014
    1. 79 FR 28606 - Automated Data Processing and Information Retrieval System Requirements: System Testing
      GPO FDSys XML | Text
      DEPARTMENT OF AGRICULTURE, Food and Nutrition Service
      Final rule; notice of approval of Information Collection Request (ICR).
      The ICR associated with the Automated Data Processing and Information Retrieval System Requirements: System Testing rule published in the Federal Register on January 2, 2014 (79 FR 5), was approved by OMB on April 7, 2014.
      7 CFR Parts 271, 272, 274, 276 and 277

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United States Code

Title 7 published on 2014-01-01

The following are ALL rules, proposed rules, and notices (chronologically) published in the Federal Register relating to 7 CFR 277 after this date.

  • 2014-05-19; vol. 79 # 96 - Monday, May 19, 2014
    1. 79 FR 28606 - Automated Data Processing and Information Retrieval System Requirements: System Testing
      GPO FDSys XML | Text
      DEPARTMENT OF AGRICULTURE, Food and Nutrition Service
      Final rule; notice of approval of Information Collection Request (ICR).
      The ICR associated with the Automated Data Processing and Information Retrieval System Requirements: System Testing rule published in the Federal Register on January 2, 2014 (79 FR 5), was approved by OMB on April 7, 2014.
      7 CFR Parts 271, 272, 274, 276 and 277