A subgrantee is a government entity or another legal organization that receives a subgrant from a primary grantee. This entity is responsible for managing the funds provided and ensuring they are used according to the terms set by the grantee. In essence, the subgrantee acts as a middle party that helps implement the goals of the original grant.
Subgrantees are commonly involved in various legal contexts, particularly in grant management and public funding. They play a crucial role in areas such as:
Users may manage subgrant agreements using legal templates available through platforms like US Legal Forms, which can assist in ensuring compliance with applicable regulations.
Here are a couple of examples of abatement:
Example 1: A state health department receives a federal grant to improve community health. It awards a subgrant to a local nonprofit organization to implement health education programs. The nonprofit is the subgrantee and must report back on how the funds are used.
Example 2: A city receives a grant for urban development and subgrants part of those funds to a local contractor to build affordable housing. The contractor is the subgrantee, responsible for adhering to the grant's stipulations. (hypothetical example)
Examples of state differences (not exhaustive):
| State | Subgrantee Regulations |
|---|---|
| California | Subgrantees must comply with specific state funding guidelines. |
| Texas | Subgrantees are required to undergo financial audits annually. |
| New York | Subgrantees must report on fund usage quarterly. |
This is not a complete list. State laws vary, and users should consult local rules for specific guidance.
| Term | Definition | Key Differences |
|---|---|---|
| Grantee | The entity that receives a grant directly from a funding source. | A grantee is the primary recipient, while a subgrantee receives funds from the grantee. |
| Contractor | An individual or company hired to perform services under a contract. | A contractor is typically paid for services rendered, while a subgrantee manages funds for specific projects. |
If you are involved with a subgrant, consider the following steps:
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A grantee is the primary recipient of a grant, while a subgrantee receives funds from the grantee to carry out specific projects.