[Code of Federal Regulations]
[Title 45, Volume 2]
[Revised as of October 1, 2003]
From the U.S. Government Printing Office via GPO Access
[CITE: 45CFR286.200]

[Page 197]
 
                        TITLE 45--PUBLIC WELFARE
 
     CHAPTER II--OFFICE OF FAMILY ASSISTANCE (ASSISTANCE PROGRAMS), 
ADMINISTRATION FOR CHILDREN AND FAMILIES, DEPARTMENT OF HEALTH AND HUMAN 
                                SERVICES
 
PART 286--TRIBAL TANF PROVISIONS--Table of Contents
 
                 Subpart D--Accountability and Penalties
 
Sec. 286.200  How will we determine if Tribal Family Assistance Grant funds 
were misused or intentionally misused?

    (a) We will use the single audit or Federal review or audit to 
determine if a Tribe should be penalized for misusing Tribal Family 
Assistance Grant funds under Sec. 286.195(a)(1) or intentionally 
misusing Tribal Family Assistance Grant funds under Sec. 286.195(a)(2).
    (b) If a Tribe uses the TFAG in violation of the provisions of the 
Act, the provisions of 45 CFR part 92, OMB Circulars A-87 and A-133, or 
any Federal statutes and regulations applicable to the TANF program, we 
will consider the funds to have been misused.
    (c) The Tribe must show, to our satisfaction, that it used the funds 
for purposes that a reasonable person would consider to be within the 
purposes of the TANF program (as specified at Sec. 286.35) and the 
provisions listed in Sec. 286.45.
    (d) We will consider the TFAG to have been intentionally misused 
under the following conditions:
    (1) There is supporting documentation, such as Federal guidance or 
policy instructions, indicating that TANF funds could not be used for 
that purpose; or
    (2) After notification that we have determined such use to be 
improper, the Tribe continues to use the funds in the same or similarly 
improper manner.
    (e) If the single audit determines that a Tribe misused Federal 
funds in applying the negotiated time limit provisions under Sec. 
286.115, the amount of the penalty for misuse will be limited to five 
percent of the TFAG amount.
    (1) This penalty shall be in addition to the reduction specified 
under Sec. 286.195(a)(1).
    (2) [Reserved]