Financial Assistance Standards

Section 540 Section 540.180  Financial Assistance Standards a)         Financial Management System – A recipient's financial management system shall include cash management, signature authority and bonding requirements and shall be structured to meet the accounting standards of the Financial Accounting Standards Board of the American Institute of Certified Public Accountants (AICPA) (September 19, 1987 with no later amendments or editions). The recipient is accountable for funds received under this grant and shall maintain effective control and accountability over all funds and other assets under the grant. b)         Matching Funds – Matching funds for an RLF project shall consist of cash funds and in-kind services made available and used in the project, under the control of the Project Operator. Other contributions which take the form of loans from a financial institution or other lender directly to an eligible business venture are not considered match to the RLF. c)         Audits – The recipient shall be responsible for securing an audit of all loan records and such audit must be performed by an independent public accountant, certified and licensed by authority of the State of Illinois pursuant to the Illinois Accounting Act (Ill. Rev. Stat. 1989, ch. 111, pars. 5-500.01 et seq.).  The audit must be conducted in accordance with generally accepted auditing standards adopted by the AICPA (1989 with no later amendments or editions).