SECTION 16.220. Records Retention; Audit

(a) Grant recipients must maintain all financial records, supporting documents, and all other records pertinent to the grant project or grant award for the later of:

(1) five years following the submission of a final report; or

(2) if any litigation, claim, or audit is started, or any open records request is received, before the expiration of the five-year records retention period, one year after the completion of the litigation, claim, audit, or open records request and resolution of all issues which arise from it.

(b) At any time during the grant agreement and during the retention period described in subsection (a) of this section, the director or the director's designee may, upon reasonable notice, request any records from or audit the books and records of a grant recipient or conduct an on-site review at a grant recipient's location to verify that the grant recipient has complied with the terms, conditions, and requirements of the grant agreement, and any applicable laws, rules, regulations, or guidance relating to the grant award.

(c) During an on-site review, a grant recipient must provide the director or the director's designee with access to all records, information, and assets that the director or the director's designee determines are reasonably relevant to the scope of the on-site review.

(d) If the director or the director's designee requests records or information from the grant recipient, the grant recipient must provide the requested records or information to the director or the director's designee not later than 30 days after a written request is made by the director or the director's designee.

Source Note: The provisions of this §16.220 adopted to be effective July 10, 2023, 48 TexReg 3700