MDH Subcontracting Guidelines for Grants
MDH Responsibilities when a Grantee Subcontracts
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Services to be provided by subcontractors are listed in grantee’s approved work plan and budget
Subcontracts may be periodically reviewed as part of the grant monitoring process. This review
process may include:
o Random selection of subcontracts for review of legal agreement utilized and supporting
documents
o Review of grantee procedures for selection of subcontractors
Notify grantees of their responsibilities when issuing subcontracts (see Overview of Grantee
Responsibilities for Subcontracts)
MDH does not provide legal advice to another organization about contract requirements
Notify Grants Coordinator and MDH legal if you have potential concerns about subcontracts used
by MDH grantees
For competitive grants and inclusion in Request for Proposal
Disclosure of Contractual Services:
Applicants must identify any subcontracts that will occur as part of carrying out the duties of this grant
program as part of the Contractual Services budget line item in your proposed budget in Section xx,. The
use of contractual services is subject to State review and may change based on final work plan and budget
negotiations with selected grantees.
Applicant responses must include:
 Description of services to be contracted for;
 Anticipated contractor/consultant’s name (if known) or selection process to be used;
 Length of time the services will be provided; and
 Total amount to be paid to contractor
For formula grants or applications not requiring a Request for Proposal
Applicants must identify any subcontracts over $5,000 that will occur as part of carrying out the duties of
this grant program on an annual basis prior to the subcontract going into effect. The use of contractual
services is subject to State review.
Subcontract information to be provided annually must include:
 Description of services to be contracted for;
 Anticipated contractor/consultant’s name (if known) or selection process to be used;
 Length of time the services will be provided; and
 Total amount to be paid to contractor
Overview of Grantee Responsibilities for Subcontracts
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The Grantee is responsible for holding any subcontracting entities to the same standards required
of the grantee.
The Grantee remains solely responsible for the satisfactory performance of all grant duties and
ensures that all costs billed against the grant are allowable costs.
The Grantee must follow its standard procurement practices prior to entering into subcontracts.
Specific procurement rules must be followed for subcontracts in excess of $150,000.
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Subcontractors may not be selected if listed on the state or federal prohibited vendors list.
o State prohibited vendor list: www.mmd.admin.state.mn.us/debarredreport.asp
o Federal prohibited vendor list: www.sam.gov *
The Grantee is responsible for all required reports, supporting documentation, deliverables or
other items as required by the grant contract.
The Grantee is responsible for ensuring that any subcontracting entities comply with the Minnesota
Government Data Practices Act (Minnesota Statutes Chapter 13) as it applies to all data created,
gathered, generated or acquired under your grant agreement.
Questions about Subcontracts
You are welcome to contact your grant manager for general questions related to subcontracting. It is
important to remember, however, that a contract is a legal document and MDH does not provide legal
advice. Your organization may want to contact an attorney to advise you about your contract agreements.
* How to search for an entity or individual in SAM
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Click "SEARCH RECORDS" button
In the search bars type in the Entity name, DUNs, or CAGE code. You can only use one search bar at a time to
search for records. Individuals are not assigned a DUNs number or CAGE code. When checking for a debarred
individual, conduct the search by typing the name in the top bar.
Click "SEARCH" to retrieve a list of results. Entities with "Exclusion" listed in purple are currently debarred,
while those labeled "Entity" in green do not have exclusions. Click PDF, Export CSV, or Print buttons to export
or print the search results.
Click "VIEW DETAILS" to view SAM's information about the entities. 1. Entity Overview, 2. Entity Records, 3.
Core Data on the Entity, 4. Assertions, 5. Representations and Certifications, 6. Point of Contact Person and 7.
Whether the entity exclusions are active or inactive.
08/2015