Invest in Neighborhoods Inc. Invest in Neighborhoods Inc. Perhaps even more difficult than writing the grant proposal is administering the grant after it is funded. This is the time when the nonprofit organization proves that it is a creditable agency and that it can produce what was promised in the grant proposal narrative.
Grant administration will vary from agency to agency. A small nonprofit agency's proposal writer might double as a project manager or the grant administrator. This person must develop the managerial skills necessary to implement the project and to manage the funding appropriately. Larger institutions may have the luxury of administrative staff to manage the fiscal end of the grant, leaving the grant writer to implement the project.
Once the grant is funded and the nonprofit enters into an agreement with the funding agency, it is responsible for producing the outcomes described in the narrative. This agreement between the funder and the nonprofit is, in essence, a legal contract to deliver promised goods. The importance of good grant administration becomes clear.
Project management is the actual implementation of the proposed activities that the organization hopes will produce the desired outcomes. Grant administration, however, goes beyond implementation to the accounting of the program. Most government agencies will require precise types of record keeping to account for the use of the funds. A yearly audit will be required, and some government agencies will conduct their own audit of the nonprofit agency.
The grant contract will clearly define the nonprofit's responsibilities as to the fiscal management of the funds. This document must be read carefully: it is legally binding. If the nonprofit is receiving funds from a number of agencies, each may have its own different fiscal requirements.
On a final note, the nonprofit may find that the needs have shifted slightly between the original proposal and the final funding, or that the cost of various items has changed. It is possible to realign the budget portion of the grant, but this must be done through the funding agency. An organization should never simply change the budget of a grant. The funding agency will provide guidance on budget adjustments.
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