1.

Management of Grant funds: the sub recipient may use the grant funds only for agreed and
approved program activities & admin costs during the program term or otherwise agreed in
writing by NNPWE.
 Changes to the budget: any change to budget shall only be made pursuant to the
written guidelines provided by NNPWE or as otherwise authorized in writing by NNPWE.
 when sub recipient report contain any unauthorized shift of budget line items/activities
NNPWE shall deduct from next disbursement of all such unauthorized budget utilization
and or activity shifted.
 Successive release: of fund depends on performance and compliance with terms and
condition of this contract.
 Failure to adhere for the contractual agreement at any time, NNPWE may or may not
continue funding the activities of the sub recipient.
 Deadlines: if the sub recipient fails to achieve the program targets set forth in this
agreement, during the periods set forth therein, NNPWE may at any time, and in its sole
discretion, terminate or suspend this agreement by written notice to the sub recipient.
2. Taxes and duties: - the recipient shall submit any evidence of VAT payments made for more
than 500 dollars within the reporting period to the NNPWE so that the NNPWE can process tax
refund from USAID. And if the recipient fail to report timely , NNPWE , in its sole discretion,
require the sub recipient to refund to NNPWE or offset the amount of such tax from amounts to
be disbursed under this or any other agreement between NNPWE and sub recipient.
3. Audits & records:-
 Books & records:- the sub recipient shall maintain accounting books, record, documents
and other evidence relating to this agreement, adequate to show without limitation, all
costs incurred and revenues earned by sub recipient for the program and overall
progress towered completion of the program. The sub recipient shall maintain program
books and records in accordance with generally accepted accounting standards in
Ethiopia.
 Data loss minimization: the sub receipt shall keep documents both in hard copies and
electronic copies of data/ documents using such instruments like back up disks, CD,
external hard diskettes etc.
 Audit by NNPWE and its donors: - reserve the right, on their own or through an agent
to perform the audits required under the agreement and or to conduct a financial
review, forensic audit or evaluation, or take any other actions that they deem necessary
to insure the accountability of the sub recipient for grant funds and to monitor
compliance by the sub recipient with the terms of this agreement. The sub recipient
shall cooperate with NNPWE and its donors in the conduct of such review, audit
evaluation or other action. NNPWE reserves the right to take all the necessary actions
on the findings of either the internal or external audit reports.
 External audit: the associations must send signed audit reports performed by registered
external auditors at the federal audit general within three months of the next fiscal year.
NNNPWE on its own discretion, may decide not to release grant funds during the
 subsequent disbursement request if there is material misstatement or misuse in the
audit report or any risk of misstatement or misuse thereof.
4. Quarterly reports:- The sub recipient shall not later than 5 to 10 days after the end of each
quarter depending on the donor report on the progress towered program objective and
financial report for the period indicated in the implementation plan based on the formats
provided for this purpose.
 Association look at the attachment # 3, all reports should be
prepared in 2 copies; signed by the person who prepared it; signed by the
authorized person to verify and have to be approved by an authorized
person and stamped before sending to NNPWE.

 Both the financial and programmatic progress reports must be submitted to

NNPWE office jointly as a single report with single cover latter. Separate
submission of the reports shall be considered as in incomplete reporting and
hence will be disregarded or rejected.
 All reports arrived later than the reporting schedule set here will not be
considered for any subsequent disbursement request.
5. Termination; suspension; expiry of the program: - upon full or partial termination of this
agreement for any reason or the expire of the program term; the sub recipient shall
among other procedures which may be requested by NNPWE.
 Immediately return to NNPWE any grant funds that have not been expended by
the sub recipient and inventory of all assets and receivables purchased with
grant, as of the date of the termination notice or the expire date of the
program, if requested to do so by NNPWE. And provide