Current through Vol. 42, No. 1, September 16, 2024
(a)
Policy. Area Agencies on Aging (AAAs) and Title III projects may
engage in commercial and contractual activities compatible with the development
or enhancement of comprehensive and coordinated service delivery systems for
older persons. Commercial and contractual activities do not include activities
the AAA or Title III project performs pursuant to the Older Americans Act (OAA)
program. This Section applies to Title III projects only when Title III
facilities and staff are utilized in the performance of commercial and
contractual activities. The AAA or Title III project performing commercial or
contractual activities provides assurances to:
(1) demonstrate:
(A) a loss or diminution in the quantity or
quality of OAA services provided, or to be provided, by the agency has not
resulted and will not result from such contract or relationship; and
(B) the quantity or quality of OAA services
to be provided will be enhanced as a result of such contract
relationship;
(2)
disclose:
(A) the identity of each
nongovernmental entity with which the agency has a contract or commercial
relationship relating to providing services to older persons;
(B) the nature of such contract or
relationship; and
(C) all sources
and expenditures of funds the agency receives or expends to provide services to
older persons for the purpose of monitoring compliance with the OAA, including
conducting an audit;
(3)
maintain the integrity and public purpose of OAA services provided;
(4) not use OAA funds received to pay any
part of a cost, including an administrative cost, incurred to carry out a
contract or commercial relationship.
(A) Final
payment for non-OAA services may not be from OAA funds. Contract income above
the computed cost, including the allocated administrative cost, of the non-OAA
service does not fall under the provision of Section 315 of the OAA.
(B) AAAs require OAA service providers to
submit annual verification of the OAA and the non-OAA service cost computed in
accordance with General Accepted Accounting Principles by a non-biased,
qualified person, such as a certified public accountant (CPA).
(C) AAAs review the OAA and the non-OAA
service cost methodology annually in accordance with General Accepted
Accounting Principles using a qualified person, such as a CPA, to either
approve it or disapprove it and work with the service provider to obtain
suitable information. The final computation of the OAA and non-OAA service cost
methodology, once approved by the AAA, is submitted to Aging Services Division
annually in the AAA approved grants; and
(5) not give preference in receiving OAA
services to particular older persons as a result of a contract or commercial
relationship.
(b)
Authority. The authority for this Section is Sections 306(a)(13)
through (16) of the Older Americans Act, as amended.
(c)
Cross references. There are
no cross references for commercial and contractual activities.
Added at 17 Ok Reg
2465, eff 6-26-00; Amended at 22 Ok Reg 897, eff 5-12-05; Amended at 23 Ok Reg
2668, eff 7-15-06
