Code of Federal Regulations (Last Updated: May 6, 2024) |
Title 45 - Public Welfare |
Subtitle A - Department of Health and Human Services |
SubChapter A - General Administration |
Part 75 - Uniform Administrative Requirements, Cost Principles, and Audit Requirements for HHS Awards |
Subpart D - Post Federal Award Requirements |
Standards for Financial and Program Management |
§ 75.304 - Bonds.
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§ 75.304 Bonds.
The HHS awarding agency may include a provision on bonding, insurance, or both in the following circumstances:
(a) Where the Federal Government guarantees or insures the repayment of money borrowed by the recipient, the HHS awarding agency, at its discretion, may require adequate bonding and insurance if the bonding and insurance requirements of the non-Federal entity are not deemed adequate to protect the interest of the Federal Government.
(b) The HHS awarding agency may require adequate fidelity bond coverage where the non-Federal entity lacks sufficient coverage to protect the Federal Government's interest.
(c) Where bonds are required in the situations described above, the bonds must be obtained from companies holding certificates of authority as acceptable sureties, as prescribed in 31 CFR part 223.