The Department of Health and Human Services (HHS) is the largest grant-making agency in the federal government. HHS’s Departmental Appeals Board (DAB) is responsible for providing dispute resolution services for HHS grants and programs. Grantees can appeal determinations by HHS agencies to the DAB for further review prior to bringing the dispute to court. A significant number of DAB decisions involve appeals of cost disallowances and grant terminations. DAB decisions can be precedential, meaning prior decisions are binding on future decisions. However, many DAB decisions pre-date the creation of the Uniform Guidance, 2 CFR Part 200 (including HHS’s codification at 45 CFR Part 75 which was fully repealed effective October 2025), and correlating HHS regulations at 2 CFR Part 300. As a result, many older DAB decisions interpret the application of a different set of regulations. Though, since the regulations in these decisions are similar to many parts of the current Uniform Guidance, these past DAB decisions offer insight into how the DAB may rule on similar future appeals and provide valuable insight into how to interpret these provisions of the law.  

Over the years, CAPLAW has written extensively about DAB decisions that involve CAAs and/or grants such as CSBG, Head Start, and LIHEAP. The following articles can be used to help better understand the application of the Uniform Guidance to a CAA’s use and administration of federal grants, but should be understood in the context of the time they were written. For up-to-date information about analyzing the Uniform Guidance, please contact CAPLAW for a consultation. 

• DAB Clarifies Pass-Through Entity Obligations, 2022
• DAB Lessons Learned: Know Your Budgetary Boundaries, 2022
• DAB Decision Upholds Cost Disallowance, Highlights Responsibility to Maintain Oversight over Contracts, 2021
• DAB Decision Highlights Importance of Thorough Documentation and Careful Cost Allocation, 2016
• Ignorance is Not Bliss: DAB Decisions Affirm Board Fiduciary Duties, 2016
• Failure to Obtain Prior Written Approval Results in Major Head Start Disallowance, 2014
• DAB Disallowance Lessons: Document and Use Funds for Specified Activities, 2014
• DAB Decision Focuses on Accountability and Transparency, 2012
• DAB Decision Reinforces Importance of Meeting Non-Federal Share Requirements, 2012
• DAB Upholds Disallowance of Reimbursement Request, 2011
• DAB Upholds Grant Termination for Failure to Timely Correct Deficiencies, 2011
• DAB Upholds Denial of Continuation Award and Repayment of Disallowed Expenditures, 2010
• DAB Examines Grant Termination Resulting from Non-Compliance, 2010
• DAB Examines Disallowances Resulting from Inadequate Documentation of In-Kind Contributions and Salaries, 2010
• CAA Wins Disallowance Case Involving Statistical Sampling, 2009
• DAB Confirms that Head Start Funds Can’t Be Used for Cash Assistance but Permits Purchase of Plasma TV, 2009
• DAB Upholds Disallowance of Head Start Funds, 2008
• DAB Upholds Disallowance of Subawards and Other Unapproved Expenditures, 2008
• DAB Upholds Disallowance of Head Start Costs on Nepotism Grounds, 2008
• DAB Decisions Highlight Importance of Effective Financial Management and Good Governance, 2007
• DAB Upholds Head Start Cost Disallowances, 2006
• Disallowance of Costs Related to Real Estate Development Upheld, 2005
• Employee Recognition Luncheon Costs Disallowed, 2005
• Disallowance Offset by Unclaimed Costs But Not Additional Nonfederal Resources, 2005
• CAA Ordered to Clarify Head Start Match in Indirect Cost Rate Case, 2005
• DAB Accepts E-Mail as Evidence of Written Approval for Budget and Program Plan Revisions, 2004