Remedies for Noncompliance

If a non-Federal entity fails to comply with federal statutes, regulations, terms and conditions of a federal award, or the recommended actions listed in the CAP, the federal awarding agency or pass-through entity may impose additional conditions, as described in 2 CFR 200.208 - Specific conditions and 2 CFR 200.339 - Remedies for noncompliance.

Some common actions may include:

  • Temporarily withhold cash payments
  • Deny use of funds for a cost not in compliance (i.e., disallow costs)
  • Wholly or partly suspend or terminate the federal award
  • Initiate suspension or debarment proceedings
  • Withhold further federal awards for the project or program
  • Take other remedies that may be legally available
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