Date Published: February 2015
In general, funds expended (or expenditures) are self-reported - how much a grantee paid out to a third party, etc. Expenditures are entered quarterly by the Grantee in the QPR - Activity Report level. Expenditures should include both program income and grant funds disbursed, as appropriate.
Program funds drawn down (or disbursements) is based on vouchers completed during the quarter. For grants/program funds, this represents how much money went from U.S. Treasury to grantee bank accounts. Program income drawdowns represent how much money went from grantee bank accounts (or designated subrecipients) to third parties. Total funds drawn down is a sum of program funds drawn down and program income drawn down.
Drawdown amounts at the activity level are calculated automatically by DRGR based on completed/approved grantee vouchers. Grantees cannot draw in excess of their obligation minus prior and pending draws. If grantees report draws in excess of expenditures on an activity, then it would be the basis for checking with the grantee and/or monitoring to see if they are drawing in advance of need.
Drawdowns are compared to obligations and program income amounts when DRGR calculates the available balances for new draws. DRGR does not have system checks to limit draws or obligations based on Grantee reported expenditures. However, grantees and HUD staff may use QPRs or Microstrategy reports to compare total funds expended to total fund drawdowns to make sure there are not large cash balances that would indicate grantees are drawing in advance of need.
If the cumulative totals for Drawdown and expenditures are significantly different, grantees should examine their records and enter amounts in the Expended field that will include expenditures during the quarter covered, and to correct prior period reporting as needed. Grantees should identify the specific amounts for current period expenditures versus prior period expenditure corrections in their QPR activity progress narrative. This communication will be helpful to the public, auditors, or HUD monitors.