Priority Area 9:
Performance Partnership Agreement (PPA)/Performance Partnership Grants (PPG) Categorical Grant Reporting

 

Many states develop Performance Partnership Agreements (PPAs) with EPA Regions. EPA and state officials discuss environmental conditions and program needs; agree on goals and priorities; devise strategies to address these needs; define responsibilities; and develop measures. States can choose to combine some or all of their environmental program grants in Performance Partnership Grants (PPGs).

Under traditional environmental program grants (sometimes called "categorical" grants), states receive funds to implement various water, air, waste, pesticides, and toxic substances programs. Environmental program grant funds can only be spent on activities that fall within the statutory and regulatory boundaries of that program. However, states can choose to combine two or more environmental program grants into a single PPG, which allows states to support multi-media approaches and initiatives that were difficult to fund under traditional categorical grants.

Five states – Arizona, Colorado, South Dakota, Utah, and Virginia – recommended three improvements to their PPAs/PPGs:

1. Target the PPG work plan on EPA’s National Performance Measures.  Eliminate PPG work plan requirements that are related to state-based or other non-federal programs.
2. Reduce reporting frequency.
3. Streamline reporting so that the application and reporting requirements for the PPA/PPG meet the needs of all grants contained therein.

Because every PPA and PPG is a negotiated agreement between an EPA Region and a state, they vary greatly from one to another.  Thus, the first and third recommendations were addressed at the Regional level.  Read details about these resolutions under Recommendation G5 and Recommendation G9.

EPA’s Office of Grants and Debarment (OGD) developed a standardized grant reporting policy (PDF) (6pp, 65K) that addresses the second recommendation - reporting frequency.  Among other things, the policy sets a standard reporting frequency of no greater than twice per year, except in instances of poor performers or where Regions and states have otherwise agreed.  For many grants, the policy recommends a reporting frequency of no greater than annually. 

The policy applies to PPGs. If a PPG encompasses only those grants/agreements with annual reporting requirements, then a PPG progress report is due annually (unless there is poor performance or another frequency is negotiated).  If the PPG encompasses some grants/agreements with a semi-annual frequency and some with an annual frequency, then the state has the option to either a) reporting semi-annually on the entire PPG or b) reporting semi-annually on only those portions of the PPG that require twice yearly reporting. 

The draft policy was reviewed by members of the Environmental Council of the States’ State Grants Workgroup.  See Priority Area 16 for more information.