Reallocation of Grant Funds Policy

1.0 Rationale

The Ontario Trillium Foundation (OTF) is committed to ensuring that OTF funding is used for the purposes for which it was approved.

2.0 Purpose

This policy defines OTF’s approach to potential modifications to the budget of an approved grant. OTF sets parameters to support the effective use of grant funds while ensuring accountability and the appropriate use of public funds.

3.0 Policy

Grant funds are awarded based on the budget submitted in the application for funding and the approved budget as outlined in the Grant Contract. Grant funds may only be spent on items and activities as described in Schedule A of the contract.

OTF will consider reallocation of approved grant funds only when they directly support the original approved objectives and expectations of the grant. OTF will not consider reallocation of grants fund to: 

• general organizational operating costs or costs not directly related to the approved project;
• items or activities beyond or separate to the project’s approved scope of work;
• items or activities ineligible for OTF funding as per OTF’s Eligibility Policy.

Reallocations must align with specific limits identified in the following policies, along with the requirements outlined in each individual grant stream:

• Eligibility Policy
• Grant Rescind and Recovery Policy
• Payment Release for Grantees Policy

3.1 Reallocation within Approved Budget as Outlined in Grant Contract

i) Subject to the foregoing, grantees may reallocate funds within each budget category, without prior approval of OTF. Reallocation must be for approved budget lines within each budget category. The grantee must report any budget reallocation within a budget category in their next progress and/or final report.

ii) Grantees wishing to reallocate funds between budget categories require the prior written approval of OTF. Requests for reallocation of funds between all budget categories must be submitted to OTF in writing for approval prior to making any changes. In addition to having to align with other OTF policy expectations and stream requirements, OTF will only consider the reallocation request if the following conditions have been met:

• the grant is in good standing;
• the grant activities have so far met expectations;
• the reallocation request is within the scope of the originally approved outcomes for the grant;
• the reallocation supports continued successful implementation of the project and achievement of expected results and metrics; and
• the reallocation is not to cover general operating costs or costs not directly related to the approved project.

Grantees who are unclear if the reallocation they are considering adheres to OTF policies should contact their OTF Program Manager before moving forward with any changes.

3.2 Recovery of Surplus Funds at the End of the OTF Grant

OTF will request the return of any funds of $100 or greater remaining at the end of the grant.  This recovery will be supported, in part, by the OTF Payment Release for Grantees Policy.

4.0 Definitions

Budget categories: The Grant Contract will indicate the budget categories outlined in the approved funding application (defined by the individual granting streams).

Recovery: Return of surplus grant funds.