(2) the costs are allocable to the specific project;
         (3) the costs are treated consistently in like

        (4) the costs conform to any limitations of the cost

        (5) the costs are accorded consistent treatment; a

        (6) the costs are determined to be in accordance with

        (7) the costs are not included as a cost or used to

        (8) the costs of one State or federal grant are not

        (9) the costs are adequately documented.
     “Auditee” means any non-federal entity that expends State or federal awards that must be audited.
     “Auditor” means an auditor who is a public accountant or a federal, State, or local government audit organization that meets the general standards specified in generally-accepted government auditing standards. “Auditor” does not include internal auditors of nonprofit organizations.
     “Auditor General” means the Auditor General of the State of Illinois.
     “Award” means financial assistance that provides support or stimulation to accomplish a public purpose. “Awards” include grants and other agreements in the form of money, or property in lieu of money, by the State or federal government to an eligible recipient. “Award” does not include: technical assistance that provides services instead of money; other assistance in the form of loans, loan guarantees, interest subsidies, or insurance; direct payments of any kind to individuals; or contracts that must be entered into and administered under State or federal procurement laws and regulations.
     “Budget” means the financial plan for the project or program that the awarding agency or pass-through entity approves during the award process or in subsequent amendments to the award. It may include the State or federal and non-federal share or only the State or federal share, as determined by the awarding agency or pass-through entity.
     “Catalog of Federal Domestic Assistance” or “CFDA” means a database that helps the federal government track all programs it has domestically funded.
     “Catalog of Federal Domestic Assistance number” or “CFDA number” means the number assigned to a federal program in the CFDA.
     “Catalog of State Financial Assistance” means the single, authoritative, statewide, comprehensive source document of State financial assistance program information maintained by the Governor’s Office of Management and Budget.
     “Catalog of State Financial Assistance Number” means the number assigned to a State program in the Catalog of State Financial Assistance. The first 3 digits represent the State agency number and the last 4 digits represent the program.
     “Cluster of programs” means a grouping of closely related programs that share common compliance requirements. The types of clusters of programs are research and development, student financial aid, and other clusters. A “cluster of programs” shall be considered as one program for determining major programs and, with the exception of research and development, whether a program-specific audit may be elected.
     “Cognizant agency for audit” means the federal agency designated to carry out the responsibilities described in 2 C.F.R. § 200.513(a).
     “Contract” means a legal instrument by which a non-federal entity purchases property or services needed to carry out the project or program under an award. “Contract” does not include a legal instrument, even if the non-federal entity considers it a contract, when the substance of the transaction meets the definition of an award or subaward.
     “Contractor” means an entity that receives a contract.
     “Cooperative agreement” means a legal instrument of financial assistance between an awarding agency or pass-through entity and a non-federal entity that:
         (1) is used to enter into a relationship with the

        (2) is distinguished from a grant in that it provides

    “Cooperative agreement” does not include a cooperative research and development agreement, nor an agreement that provides only direct cash assistance to an individual, a subsidy, a loan, a loan guarantee, or insurance.
     “Corrective action” means action taken by the auditee that (i) corrects identified deficiencies, (ii) produces recommended improvements, or (iii) demonstrates that audit findings are either invalid or do not warrant auditee action.
     “Cost objective” means a program, function, activity, award, organizational subdivision, contract, or work unit for which cost data is desired and for which provision is made to accumulate and measure the cost of processes, products, jobs, and capital projects. A “cost objective” may be a major function of the non-federal entity, a particular service or project, an award, or an indirect cost activity.
     “Cost sharing” means the portion of project costs not paid by State or federal funds, unless otherwise authorized by statute.
     “Development” is the systematic use of knowledge and understanding gained from research directed toward the production of useful materials, devices, systems, or methods, including design and development of prototypes and processes.
     “Data Universal Numbering System number” means the 9-digit number established and assigned by Dun and Bradstreet, Inc. to uniquely identify entities and, under federal law, is required for non-federal entities to apply for, receive, and report on a federal award.
     “Direct costs” means costs that can be identified specifically with a particular final cost objective, such as a State or federal or federal pass-through award or a particular sponsored project, an instructional activity, or any other institutional activity, or that can be directly assigned to such activities relatively easily with a high degree of accuracy.
     “Equipment” means tangible personal property (including information technology systems) having a useful life of more than one year and a per-unit acquisition cost that equals or exceeds the lesser of the capitalization level established by the non-federal entity for financial statement purposes, or $5,000.
     “Executive branch” means that branch of State government that is under the jurisdiction of the Governor.
     “Federal agency” has the meaning provided for “agency” under 5 U.S.C. § 551(1) together with the meaning provided for “agency” by 5 U.S.C. § 552(f).
     “Federal award” means:
         (1) the federal financial assistance that a

        (2) the cost-reimbursement contract under the Federal

        (3) the instrument setting forth the terms and

    “Federal award” does not include other contracts that a federal agency uses to buy goods or services from a contractor or a contract to operate federal government owned, contractor-operated facilities.
     “Federal awarding agency” means the federal agency that provides a federal award directly to a non-federal entity.
     “Federal interest” means, for purposes of 2 C.F.R. § 200.329 or when used in connection with the acquisition or improvement of real property, equipment, or supplies under a federal award, the dollar amount that is the product of the federal share of total project costs and current fair market value of the property, improvements, or both, to the extent the costs of acquiring or improving the property were included as project costs.
     “Federal program” means any of the following:
         (1) All federal awards which are assigned a single

        (2) When no CFDA number is assigned, all federal

        (3) Notwithstanding paragraphs (1) and (2) of this

            (A) research and development;
             (B) student financial aid; and
             (C) “other clusters”, as described in the

    “Federal share” means the portion of the total project costs that are paid by federal funds.
     “Final cost objective” means a cost objective which has allocated to it both direct and indirect costs and, in the non-federal entity’s accumulation system, is one of the final accumulation points, such as a particular award, internal project, or other direct activity of a non-federal entity.
     “Financial assistance” means the following:
         (1) For grants and cooperative agreements, “financial

            (A) grants;
             (B) cooperative agreements;
             (C) non-cash contributions or donations of

            (D) direct appropriations;
             (E) food commodities; and
             (F) other financial assistance, except assistance

        (2) “Financial assistance” includes assistance that

        (3) “Financial assistance” does not include amounts

    “Fixed amount awards” means a type of grant agreement under which the awarding agency or pass-through entity provides a specific level of support without regard to actual costs incurred under the award. “Fixed amount awards” reduce some of the administrative burden and record-keeping requirements for both the non-federal entity and awarding agency or pass-through entity. Accountability is based primarily on performance and results.
     “Foreign public entity” means:
         (1) a foreign government or foreign governmental

        (2) a public international organization that is

        (3) an entity owned, in whole or in part, or

        (4) any other entity consisting wholly or partially

    “Foreign organization” means an entity that is:
         (1) a public or private organization located in a

        (2) a private nongovernmental organization located in

        (3) a charitable organization located in a country

        (4) an organization located in a country other than

    “Generally Accepted Accounting Principles” has the meaning provided in accounting standards issued by the Government Accounting Standards Board and the Financial Accounting Standards Board.
     “Generally Accepted Government Auditing Standards” means generally accepted government auditing standards issued by the Comptroller General of the United States that are applicable to financial audits.
     “Grant agreement” means a legal instrument of financial assistance between an awarding agency or pass-through entity and a non-federal entity that:
         (1) is used to enter into a relationship, the

        (2) is distinguished from a cooperative agreement in

    “Grant agreement” does not include an agreement that provides only direct cash assistance to an individual, a subsidy, a loan, a loan guarantee, or insurance.
     “Grant application” means a specified form that is completed by a non-federal entity in connection with a request for a specific funding opportunity or a request for financial support of a project or activity.
     “Hospital” means a facility licensed as a hospital under the law of any state or a facility operated as a hospital by the United States, a state, or a subdivision of a state.
     “Illinois Debarred and Suspended List” means the list maintained by the Governor’s Office of Management and Budget that contains the names of those individuals and entities that are ineligible, either temporarily or permanently, from receiving an award of grant funds from the State.
     “Indirect cost” means those costs incurred for a common or joint purpose benefitting more than one cost objective and not readily assignable to the cost objectives specifically benefitted without effort disproportionate to the results achieved.
     “Inspector General” means the Office of the Executive Inspector General for Executive branch agencies.
     “Loan” means a State or federal loan or loan guarantee received or administered by a non-federal entity. “Loan” does not include a “program income” as defined in 2 C.F.R. § 200.80.
     “Loan guarantee” means any State or federal government guarantee, insurance, or other pledge with respect to the payment of all or a part of the principal or interest on any debt obligation of a non-federal borrower to a non-federal lender, but does not include the insurance of deposits, shares, or other withdrawable accounts in financial institutions.
     “Local government” has the meaning provided for the term “units of local government” under Section 1 of Article VII of the Illinois Constitution and includes school districts.
     “Major program” means a federal program determined by the auditor to be a major program in accordance with 2 C.F.R. § 200.518 or a program identified as a major program by a federal awarding agency or pass-through entity in accordance with 2 C.F.R. § 200.503(e).
     “Non-federal entity” means a state, local government, Indian tribe, institution of higher education, or organization, whether nonprofit or for-profit, that carries out a State or federal award as a recipient or subrecipient.
     “Nonprofit organization” means any corporation, trust, association, cooperative, or other organization, not including institutions of higher education, that:
         (1) is operated primarily for scientific,

        (2) is not organized primarily for profit; and
         (3) uses net proceeds to maintain, improve, or expand

    “Obligations”, when used in connection with a non-federal entity’s utilization of funds under an award, means orders placed for property and services, contracts and subawards made, and similar transactions during a given period that require payment by the non-federal entity during the same or a future period.
     “Office of Management and Budget” means the Office of Management and Budget of the Executive Office of the President.
     “Other clusters” has the meaning provided by the federal Office of Management and Budget in the compliance supplement or has the meaning as it is designated by a state for federal awards the state provides to its subrecipients that meet the definition of a cluster of programs. When designating an “other cluster”, a state must identify the federal awards included in the cluster and advise the subrecipients of compliance requirements applicable to the cluster.
     “Oversight agency for audit” means the federal awarding agency that provides the predominant amount of funding directly to a non-federal entity not assigned a cognizant agency for audit. When there is no direct funding, the awarding agency that is the predominant source of pass-through funding must assume the oversight responsibilities. The duties of the oversight agency for audit and the process for any reassignments are described in 2 C.F.R. § 200.513(b).
     “Pass-through entity” means a non-federal entity that provides a subaward to a subrecipient to carry out part of a program.
     “Private award” means an award from a person or entity other than a State or federal entity. Private awards are not subject to the provisions of this Act.
     “Property” means real property or personal property.
     “Project cost” means total allowable costs incurred under an award and all required cost sharing and voluntary committed cost sharing, including third-party contributions.
     “Public institutions of higher education” has the meaning provided in Section 1 of the Board of Higher Education Act.
     “Recipient” means a non-federal entity that receives an award directly from an awarding agency to carry out an activity under a program. “Recipient” does not include subrecipients.
     “Research and Development” means all research activities, both basic and applied, and all development activities that are performed by non-federal entities.
     “Single Audit Act” means the federal Single Audit Act Amendments of 1996 (31 U.S.C. §§ 7501-7507).
     “State agency” means an Executive branch agency. For purposes of this Act, “State agency” does not include public institutions of higher education.
     “State award” means the financial assistance that a non-federal entity receives from the State and that is funded with either State funds or federal funds; in the latter case, the State is acting as a pass-through entity.
     “State awarding agency” means a State agency that provides an award to a non-federal entity.
     “State grant-making agency” has the same meaning as “State awarding agency”.
     “State interest” means the acquisition or improvement of real property, equipment, or supplies under a State award, the dollar amount that is the product of the State share of the total project costs and current fair market value of the property, improvements, or both, to the extent the costs of acquiring or improving the property were included as project costs.
     “State program” means any of the following:
         (1) All State awards which are assigned a single

        (2) When no Catalog of State Financial Assistance

        (3) A cluster of programs as defined in this Section.
     “State share” means the portion of the total project costs that are paid by State funds.
     “Stop payment order” means a communication from a State grant-making agency to the Office of the Comptroller, following procedures set out by the Office of the Comptroller, causing the cessation of payments to a recipient or subrecipient as a result of the recipient’s or subrecipient’s failure to comply with one or more terms of the grant or subaward.
     “Stop payment procedure” means the procedure created by the Office of the Comptroller which effects a stop payment order and the lifting of a stop payment order upon the request of the State grant-making agency.
     “Student Financial Aid” means federal awards under those programs of general student assistance, such as those authorized by Title IV of the Higher Education Act of 1965, as amended (20 U.S.C. §§ 1070–1099d), that are administered by the United States Department of Education and similar programs provided by other federal agencies. “Student Financial Aid” does not include federal awards under programs that provide fellowships or similar federal awards to students on a competitive basis or for specified studies or research.
     “Subaward” means a State or federal award provided by a pass-through entity to a subrecipient for the subrecipient to carry out part of a federal award received by the pass-through entity. “Subaward” does not include payments to a contractor or payments to an individual that is a beneficiary of a federal program. A “subaward” may be provided through any form of legal agreement, including an agreement that the pass-through entity considers a contract.
     “Subrecipient” means a non-federal entity that receives a State or federal subaward from a pass-through entity to carry out part of a federal program. “Subrecipient” does not include an individual that is a beneficiary of such program. A “subrecipient” may also be a recipient of other State or federal awards directly from a State or federal awarding agency.
     “Suspension” means a post-award action by the State or federal agency or pass-through entity that temporarily withdraws the State or federal agency’s or pass-through entity’s financial assistance sponsorship under an award, pending corrective action by the recipient or subrecipient or pending a decision to terminate the award.
     “Uniform Administrative Requirements, Costs Principles, and Audit Requirements for Federal Awards” means those rules applicable to grants contained in 2 CFR 200.
     “Voluntary committed cost sharing” means cost sharing specifically pledged on a voluntary basis in the proposal’s budget or the award on the part of the non-federal entity and that becomes a binding requirement of the award.