Which federal regulation distinguishes between subawards for programmatic effort and vendor agreements?

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The correct answer is A-110. This regulation, officially known as OMB Circular A-110, addresses the administrative requirements for grants and agreements with institutions of higher education, hospitals, and other non-profit organizations. One of its important provisions is the distinction it makes between subawards and vendor agreements.

Subawards are typically used when the primary recipient of the grant passes some of the responsibilities for the project to another entity, which is aligned with the programmatic goals of the grant. On the other hand, vendor agreements are related to goods and services provided for a specific purpose and do not typically involve the performance of a substantial portion of the programmatic effort. The clarification provided by A-110 is crucial for determining how to appropriately manage funds and compliance related to federal awards.

In contrast, other choices like FAR (Federal Acquisition Regulation), A-21, and A-133 do not focus specifically on the delineation between subawards and vendor agreements in the context of programmatic effort. FAR governs federal procurement processes, A-21 relates to cost principles for educational institutions, and A-133 pertains to audit requirements for states, local governments, and non-profit organizations receiving federal funds.

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