Commitment Adjustment (COMAD)

During reviews of funding commitments — which can include PIA reviews, audits, appeal reviews, and other investigations (such as Whistleblower calls) — the SLD may discover that certain funds were committed in error. In order to be sure that no funds are used in violation of program rules, the SLD must then adjust those funding commitments. The SLD refers to this process as “COMmitment ADjustment” or COMAD.

If a COMAD is necessary, the SLD will provide both the applicant and the service provider with a Commitment Adjustment Letter containing a Funding Commitment Report which lists the Funding Request Number(s) (FRNs) affected by the COMAD. Decisions on COMADs can be appealed, and appeal information is included in the letter.

• If the amount of funds disbursed to date exceeds the Adjusted Funding Commitment amount, the SLD must recover the funds disbursed in error. In these cases, the SLD will send a letter to the service provider describing the process for recovering those funds; the applicant will receive a copy of that letter. This letter will include an explanation of the options available for the SLD to recover the funds disbursed in error. Future communications from the SLD concerning the COMAD are tailored to the response(s) received.

• If the amount of funds disbursed to date is less than the Adjusted Funding Commitment amount, the SLD will continue to process properly-filed invoices up to the Adjusted Funding Commitment amount.

In general, if funds need to be recovered, the SLD will seek recovery from the service provider. The service provider may, as appropriate, recover those funds from the applicant where the services have been provided.

03/10/2003