Okla. Admin. Code § 340:105-10-105.1

Current through Vol. 42, No. 7, December 16, 2024

Section 340:105-10-105.1 - Commercial and contractual activities of Area Agencies on Aging and Title III projects

(a)Policy. Area Agencies on Aging (AAAs) and Title III projects may engage in commercial and contractual activities compatible with the development or enhancement of comprehensive and coordinated service delivery systems for older persons. Commercial and contractual activities do not include activities the AAA or Title III project performs pursuant to the Older Americans Act (OAA) program. This Section applies to Title III projects only when Title III facilities and staff are utilized in the performance of commercial and contractual activities. The AAA or Title III project performing commercial or contractual activities provides assurances to:

(1) demonstrate:

(A) a loss or diminution in the quantity or quality of OAA services provided, or to be provided, by the agency has not resulted and will not result from such contract or relationship; and

(B) the quantity or quality of OAA services to be provided will be enhanced as a result of such contract relationship;

(2) disclose:

(A) the identity of each nongovernmental entity with which the agency has a contract or commercial relationship relating to providing services to older persons;

(B) the nature of such contract or relationship; and

(C) all sources and expenditures of funds the agency receives or expends to provide services to older persons for the purpose of monitoring compliance with the OAA, including conducting an audit;

(3) maintain the integrity and public purpose of OAA services provided;

(4) not use OAA funds received to pay any part of a cost, including an administrative cost, incurred to carry out a contract or commercial relationship.

(A) Final payment for non-OAA services may not be from OAA funds. Contract income above the computed cost, including the allocated administrative cost, of the non-OAA service does not fall under the provision of Section 315 of the OAA.

(B) AAAs require OAA service providers to submit annual verification of the OAA and the non-OAA service cost computed in accordance with General Accepted Accounting Principles by a non-biased, qualified person, such as a certified public accountant (CPA).

(C) AAAs review the OAA and the non-OAA service cost methodology annually in accordance with General Accepted Accounting Principles using a qualified person, such as a CPA, to either approve it or disapprove it and work with the service provider to obtain suitable information. The final computation of the OAA and non-OAA service cost methodology, once approved by the AAA, is submitted to Aging Services Division annually in the AAA approved grants; and

(5) not give preference in receiving OAA services to particular older persons as a result of a contract or commercial relationship.

(b)Authority. The authority for this Section is Sections 306(a)(13) through (16) of the Older Americans Act, as amended.

(c)Cross references. There are no cross references for commercial and contractual activities.

Okla. Admin. Code § 340:105-10-105.1

Added at 17 Ok Reg 2465, eff 6-26-00; Amended at 22 Ok Reg 897, eff 5-12-05; Amended at 23 Ok Reg 2668, eff 7-15-06