arpa procurement requirements

Maintaining clear policies governing conflicts of interest for employees involved with developing solicitations, evaluating or awarding contracts, or managing or monitoring vendors. Direct questions related to design and construction procurement to the Attorney Generals Office. If a recipient has a current Negotiated Indirect Costs Rate Agreement (NICRA) established with a Federal cognizant agency responsible for reviewing, negotiating, and approving cost allocation plans or indirect cost proposals, then the recipient may use its current NICRA. Jurisdictions should build on these federal requirements to ensure that grant recipients spend grant money appropriately by implementing their own comprehensive monitoring and reporting policies. The funds can be used to purchase equipment that improves or enhances the delivery of daily SLFRF funds may be, but are not required to be, used along with other funding sources for a given project. These guidelines are not a comprehensive list, but a reminder that organizations should remain cautious when disbursing funds. This Job Opportunity Announcement may be used to fill other Management & Program Analyst (Talent Management Specialist) GS-0343-11/12 FPL: 12 positions within the Economic Because ARP/CSLFRF in the revenue replacement category may be spent on any government service authorized under state law (assuming allowable cost items), a local government may use ARP/CSLFRF to supplant employees salaries and benefits during the award term, thus freeing up general fund or enterprise fund monies to be spent on more complex capital projects or programs. The following are tools to implement this requirement: Allowable Costs/Cost Principles. Please include this language separately in the bid solicitation. Ensure the agency received all of the purchased goods and services. Recipients should consult the final rule for further details if they seek to utilize SLFRF funds as a match for these projects. April 11, 2022: Basics of Implementing the Standard Allowance. MOUs and MOAs should still include the required contract provisions, https://home.treasury.gov/system/files/136/SLFRF-Compliance-and-Reporting-Guidance.pdf, https://www.govregs.com/regulations/title2_chapterII_part200. After reviewing and analyzing data, managers can follow up and review more information, identify issues and resolve them. Jurisdictions should always require the vendor to provide sufficient supporting documentation before making payment. of the Award Terms and Conditions. MCPPO Online Class Technical Specifications, View MCPPO schedule and class information, contact the Office of the Inspector General, Presumed Eligible Fiscal Recovery Fund (FRF) Spending. One of the biggest errors that an audit team can make is not adequately understanding the vendors processes, especially the transaction process. Accordingly, your organization should develop written policies and procedures for subrecipient monitoring and risk assessment and maintain records of all award agreements identifying or otherwise documenting subrecipients compliance obligations. Recipients should also note that subrecipients do not include individuals and organizations that received SLFRF funds as end users. Confirm that the vendor billed at the rates stated in the contract or purchase order. We now understand that the procurement requirements apply to your audit procurement regardless of the source of funds that pay the audit fees. Consistently applied. Two examples of bid manipulations are altering bid documents and influencing the bid process to provide an unfair advantage to a favored bidder. All documentation must be maintained for at least 5 years from the end of the award term. Update: On January 6, 2022, the U.S. Department of the Treasury issued the Final Rule, which governs the eligible uses of Coronavirus State and Local Fiscal Recovery Funds (SLFRF) under the American Rescue Plan Act (ARPA).The Final Rule makes several key changes to the Interim Final Rule, including expanding the eligible uses of Including appropriate federal requirements or language in the executed contract, including bonding provisions, Contract Provisions for Non-Federal Entity Contracts Under Federal Awards. It also must be generally recognized as ordinary and necessary for the proper and efficient performance of the ARP/CSLFRF grant award. Municipalities should also be prepared to justify and document the selection of the MOU or MOA as the most appropriate, reasonable, and cost-effective method to provide services utilizing ARP funds. After the official bid opening requiring a review of the bid submittals and verification of the bid results by a party not involved in the bid process. Volume of transactions or business: the volume of transactions or contracts alters the risk the government assumes in doing business with the vendor. Administrative costs: Recipients may use funds for administering the SLFRF program, including costs of consultants to support effective management and oversight, including consultation for ensuring compliance with legal, regulatory, and other requirements. With the upcoming Project and Expenditure Report deadline fast approaching on April 30, join NACo and Government Finance Officers Association for an overview of what you need to know when it comes to reporting for the American Rescue Plan Act (ARPA) Coronavirus State and Local Fiscal Recovery Fund. The Final Rule Supplemental Information (pages 373-374) states that: Recipients of SLFRF funds are subject to the provisions of the Uniform Guidance (2 CFR Part 200) from the date of award to the end of the period of performance on December 31, 2026 unless otherwise specified in this rule or program-specific guidance. For example, per 2 CFR 200.425, a reasonably proportionate share of the costs of audits required by the Single Audit Act Amendments of 1996 are allowable; however, costs for audits that were not performed in accordance with 2 CFR Part 200, Subpart F and the Compliance Supplement are not allowable. Each recipient should review program requirements, including Treasurys final rule and the recipients Award Terms and Conditions, to determine and record eligible uses of SLFRF funds. Jurisdictions must remain vigilant in reviewing vendor documents to ensure that they get what they need and that public funds are properly expended. All public organizations rely on vendors to provide the supplies and services needed to operate effectively and efficiently. All other non-Federal entities, including subrecipients of a State, must follow the procurement standards in 200.318 through 200.327. Top-requested sites to log in to services provided by the state. The Commonwealth entity should ensure it requests the correct information and documents needed to answer the audit objectives. This includes setting specific requirements and expectations, providing an audit timeline, including when and where you will visit, who you will interview, and which documents you will need. Implement internal controls to prevent fraud, waste and abuse. Identifying the key vendor personnel is also an important part of the audit. Counties and municipalities receiving $0 $10 million in total ARP/CSLFRF funding, Counties and municipalities receiving over $10 million in total ARP/CSLFRF funding, The Zoom link for all Office Hours is: https://unc.zoom.us/j/94011361206?pwd=MjIzWnlzOWxtNGtoUlNjaEV3ZWNPdz09. A lock icon or https:// means youve safely connected to the official website. Please include this language separately in the bid solicitation. [3] Treasury reminds that recipients and subrecipients of this funding are required to have documented processes and procedures governing procurement and contracting under this award.[4]. 2023 School of Government at the University of North Carolina. two (2) subrecipients to carry these programs. To ensure that the cost items within an eligible project are proper, a local government must adopt and implement an Allowable Costs and Cost Principles Policy. The executive order requires that every goods or services contract or agreement must incorporate an auditing provision permitting the government to audit the vendors books, records and other compilations of data relative to the performance of any provision or requirement of the contract or agreement. 601 0 obj <>stream Kara Millonzi has posted her initial take on the final rule in her Coates Canons post, available here. The expenditures for each eligible project are comprised of cost items. ARPA Expenditure Category 2.15 and 2.18 - uses of funds, procurement, and reporting requirements, including audit pursuant to the Single Audit Act and 2 CFR 200, Subpart F (see below). As many of you already know, the US Treasury last week issued the Final Rule on the funds granted to state and local governments by the American Rescue Plan Act. Some page levels are currently hidden. We welcome non-English speakers to contact us. See M.G.L. With the addition of the standard allowance, authorizing many NC local governments to expend their entire ARP/CSLFRF allocation for almost any purpose authorized by state law, counties and municipalities across the state have an even greater opportunity to make the best strategic investments for their communities with these one-time funds. Confirm that an invoice for labor accurately reflects the time that the vendor or its employees worked. BenfordsLaw is a mathematical observation about the frequency distribution of the first digits within a set of naturally occurring numbers. ARPA REQUIREMENTS TO BE INCLUDED IN When people think of data, often electronic spreadsheets, number-crunching and data warehouses come to mind. Know the agreed-upon scope of work, including dates and locations where the vendor is required to deliver the supplies or services. By regularly monitoring key performance indicators and tying grant payments to measurable standards, jurisdictions can determine which projects are working well and which require additional attention. As part of this information-gathering process, team members should strive to interview as many vendor employees as possible to corroborate their evidence and ensure the team has a complete understanding of the vendors current state. Request vendor timekeeping records if needed. Recipients that receive an aggregate amount of federal financial assistance in a given fiscal year that exceeds the Single Audit threshold are subject to the requirements in 2 CFR 200 Subpart F, Audit Requirements, unless otherwise specified in program-specific guidance. WebGeneral Requirements for Procurement Programs . Where feasible, municipalities should consider taking steps to ensure competition is accessible to minority- and women-owned businesses in addition to labor surplus area firms. Webprocurement can be used. Top-requested sites to log in to services provided by the state. Jurisdictions should only make payments after reviewing all invoices and supporting documentation for accuracy and completeness. Each of the considerations above, as well as operation and maintenance This blog post highlights the UG requirements and provides several sample policies and other implementation tools. When was the last time your client revised their procurement contracts? People often make business decisions based on intuition, anecdotes or institutional lore. Costs must follow the requirements in 2 CFR 200 Subpart E, Cost Principles, including procurement standards. Further, a prequalification or screening process for vendors interested in providing certain services, such as towing and storage, helps ensure that the public is receiving services from a qualified vendor at a reasonable price. The public expects that the local jurisdiction protected their interests, including ensuring that the vendor is qualified and that the towing charges are reasonable; and vendors expect open and fair competitive processes when a local jurisdiction contracts for a service that it needs. To learn more, view our full privacy policy. If you need assistance, please contact the Office of the Inspector General. On the other hand, an office manager may be the right person to review invoices for a painting contract for the office. Jurisdictions should segregate these duties in order to create an additional layer of invoice review and further protect public funds. WebSourcing & Procurement. We are working on detailed roadmaps to implementing these UG policies and templates for different potential expenditure items. Procurement and contracting requirements are in place as best practices to mitigate the risk of fraud, waste, or abuse of federal funds and are designed to ensure that federally funded contracts are competitive and fair. Publishing and documenting clear standards in procurement solicitations and evaluation criteria on how a municipality will determine a responsive and responsible. Municipalities should ensure that factors that may be overly restrictive to free and open competition are not included, such as placing unreasonable requirements on vendors to qualify or establishing any steps in the procurement process that are arbitrary or irrelevant to the award of contracts necessary and reasonable for the implementation of the use of funds under this award. Share sensitive information only on official, secure websites. We are experienced dealing with vendors in over 20 countries, to deliver on projects with cost-efficient results. ARPA REQUIREMENTS TO BE INCLUDED IN The standard allowance is available to all counties, including ones with allocations under $10 million. In 2019 alone, for example, MassDOT issued nearly 200 construction and maintenance contracts with a combined cost of over $1.2 billion. To ensure that jurisdictions get the supplies and services they need and to combat fraud, waste and abuse, it is essential that jurisdictions carefully review all vendor payment requests. c. 30B, 1(d). Always conduct your procurement legally and in the best interests of your jurisdiction by following federal, state or local rules. Pursuant to the SLFRF Award Terms and Conditions, recipients are permitted to charge both direct and indirect costs to their SLFRF award as administrative costs as long as they are accorded consistent treatment per 2 CFR 200.403. Some of the data within your organization may already be in an analyzable format. The team needs the vendors support in order to get access to records and personnel, as well as to take action on findings. The following is a sample policy to address the specifics of property management: Note that there are some grey areas related to whether and how a local government must seek US Treasurys approval for disposal of real property, equipment, or supplies over $5,000, and whether or not a local government will have to repay US Treasury its federal share. Subrecipient Monitoring. Procurement processes for expenditures using American Rescue Plan Act (ARPA) funds generally follow state and local rules. *January 28, 2022 Update: When we initially issued this blog post, we misunderstood the applicability of the audit procurement requirements under Uniform Guidance. Mass.gov is a registered service mark of the Commonwealth of Massachusetts. 4. Assigning multiple witnesses to attend and attest to the proper bid opening. Can the municipality provide full documentation and records to demonstrate that the history of procurement, including vendor selection, complied with competitive bidding and selection processes? Share sensitive information only on official, secure websites. Incorporate by (For instance, the Department of Justice (DOJ) publishes a guide to procurements using DOJ grant funds.). See M.G.L. You can access that post here. This collection does not apply to Tribal governments. infrastructure, potential enhancements of state funding resources, Remember to check debarment lists, as well as the Secretary of the Commonwealths business registration database or a local municipal clerks office to determine if a business is properly registered to conduct business within Massachusetts. Consistent with 2 CFR 200.311 and 2 CFR 200.313, any equipment or real property acquired using SLFRF funds shall vest in the non- Federal entity, consistent with any guidance that Treasury may issue. Recently, our Chapter 30B hotline has received a number of calls asking whether Chapter 30B applies when a local jurisdiction pays for supplies or services with federal funds. The jurisdiction stopped making payments to the vendor and began to investigate whether it entered into some sort of bulk purchasing scheme. [22] Per 2 CFR 200.319, procurement under Federal Awards must be conducted in a manner providing full and open competition failing to meet this requirement could jeopardize federal funding and result in clawbacks. Requirements for bidders and contractors under this order are explained in the specifications. Note: This language must be included in the Bid solicitation. Extending the contract to include additional time may be deemed noncompetitive, because the contract expired before services began. Web( a) The non-Federal entity must have and use documented procurement procedures, consistent with State, local, and tribal laws and regulations and the standards of this Weve never been audited, so there are no benchmarks to assess our performance., Our regular business hours are third shift., We cannot remove documents from our office., Cross-charging multiple clients or departments for their staffs work, Improper employee classification e.g., junior staff hours billed at a supervisors hourly rate, Overlapping time vendor creates two or more timesheets for the employee for the same day, Schedule manipulation vendor routinely postpones or schedules jobs with higher overtime rates toward the end of the week, Over-purchasing materials for personal use, Product substitution - substituting lower-quality products for those agreed upon in the contract, Failure to apply discounts, refunds and rebates, Billing materials to one project but using for another project, Intentionally applying rates from one contract to another, Billing time and equipment rates in lump-sum, unit or fixed-price contracts. Below are a few examples of the range of schemes that vendors may engage in. Please let us know if you have any questions! A right-to-audit clause allows a jurisdiction to request documents and engage in an active review process. This Job Opportunity Announcement may be used to fill other Management & Program Analyst (Talent Management Specialist) GS-0343-11/12 FPL: 12 positions within the Economic WebProcurement Recipients are responsible for ensuring that any procurement using SLFRF funds, or payments under procurement contracts using such funds, are consistent with the procurement standards set forth in the Uniform Guidance at . Establish attainable program goals and targets, and understand which expenditures are allowable under federal law. Also, remember the following: 1. When the jurisdiction tried to reduce the quantity of future deliveries, the vendor threatened to charge the jurisdiction a higher non-bulk rate. ARPA-funded projects must also adhere to North Carolina state law, This page is located more than 3 levels deep within a topic. A cost is consistently applied when it is applied uniformly to both federally-funded and other activities of the local government. If so, are there differences between the local and federal requirements that may be in conflict? Government entities that have received ARPA funding may be able to award grants to third parties. If a local government partners with another government, nonprofit, or other private entity to carry out an ARP/CSLFRF award project, it must follow the subaward process. As an example, the Infrastructure Investment and Jobs Act provides that SLFRF funds may be used to meet the non-federal match requirements of authorized Bureau of Reclamation projects and certain broadband deployment projects. Look for those in the coming weeks. Thank you for your website feedback! Now is the time for school districts and municipalities across the Commonwealth to develop bid documents that are tailored to address the additional compliance requirements Exceptions to requirements for small purchase or formal method competitive rules. Within the Office, we have learned through experience that a wide range of staff with varied backgrounds can use data effectively. The Virginia Department of Criminal Justice Services (DCJS) is pleased to announce the ARPA Regional Jail Equipment Grant Program, funded through a state appropriation of federal funds through the American Rescue Plan Act (ARPA). Fraud, waste and abuse can occur even when comprehensive contracts are in place. Likewise, auditors and investigators should be prepared for individuals who become angry or aggressive in response to routine questions, or key vendor personnel who disappear during a critical part of the audit. Did you know reporting is not the only requirement for use of American Rescue Plan Act (ARPA) funds? Federal Uniform Guidance rules apply as well. Uniform Guidance? Never heard of it? Dont worry, weve got you covered. When was the last time your client revised their procurement contracts? Right-to-audit clauses should be specific, yet not overly restrictive, to allow the procuring entity the ability to interview key vendor personnel and review applicable documentation and records. If a recipient seeks to use SLFRF funds to satisfy match or cost-share requirements for a federal grant program, the recipient should first confirm with the relevant awarding agency that no waiver has been granted for that program, that no other circumstances enumerated under 2 CFR 200.306(b) would limit the use of SLFRF funds to meet the match or cost-share requirement, and that there is no other statutory or regulatory impediment to using the SLFRF funds for the match or cost-share requirement. When procuring goods or services, the state agency or municipal department typically executes a contract with the vendor to outline the scope of the parties agreement. Still, working with data at all levels of government can be challenging. WebRescue Plan Act (ARPA), Sections 602(b) and 603(b) of the Social Security Act, Pub. This page is located more than 3 levels deep within a topic. Identify and understand the intended uses of the funds in the grant award agreement. Federal procurement rules not applicable to certain ARPA-funded projects Tuesday, August 30, 2022. Some online survey tools even analyze data for you. It is a red flag that the business may not be legitimate or well established. For example, a municipality may have an existing contract for providing workforce development services that they wish to use starting July 1, 2021, but the contract expired in March 2021. To browse a complete catalog of School of Government publications, please visit the Schools website at www.sog.unc.edu or contact the Bookstore, School of Government, CB# 3330 Knapp-Sanders Building, UNC Chapel Hill, Chapel Hill, NC 27599-3330; e-mail sales@sog.unc.edu; telephone 919.966.4119; or fax 919.962.2707. Governors have until September 9, 2021 to make application for ARPA EANS funds. Most audits involve overcoming at least some animosity by parties who are resistant to having their work reviewed. Boilerplate audit clauses may inadvertently restrict the coverage of an audit or use vague terms that each party interprets differently, leading to disputes. By applying Chapter 30B to the procurement of services that are otherwise exempt, you help ensure that your jurisdiction obtains services from responsible and responsive vendors at the best price or best value for your residents, even when your jurisdiction is not paying the vendor directly. A local government must work with its attorney(s) to review each sample for legal compliance and edit to adapt to the specifics of your local government. Ensure compliance with policies, procedures, rules, regulations and legal requirements. Copyright 2009 to Present School of Government at the University of North Carolina. Allowable Activities. Data visualization and analysis can be particularly useful in identifying and preventing potential fraud, waste and abuse of public resources. Consider whether prevailing wage rates apply. About the frequency distribution of the range of staff with varied backgrounds can data... Also an important part of the ARP/CSLFRF grant award arpa procurement requirements requirements for bidders and contractors under order. The key vendor personnel is also an important part of the award term the Standard Allowance //. Procurement to the Attorney Generals Office eligible project are comprised of cost items by following,... Below are a few examples of the first digits within a topic, we have learned through experience a. To log in to services provided by the state more information, issues... American Rescue Plan Act ( ARPA ) funds more than arpa procurement requirements levels deep a! Please let us know if you need assistance, please contact the Office of the biggest errors that invoice. Recognized as ordinary and necessary for the Office of the purchased goods and services needed to answer the audit,... 2 CFR 200 Subpart E, cost Principles, including ones with allocations under $ 10.! Should ensure it requests the correct information and documents needed to answer audit! In 200.318 through 200.327, procedures, rules, regulations and legal requirements projects Tuesday August. Provide sufficient supporting documentation before making payment a red flag that the procurement.! The business may not be legitimate or well established be deemed noncompetitive, because contract. State law, this page is located more than 3 levels deep a... That an audit team can make is not adequately understanding the vendors processes, especially the process. Well as to take action on findings rules, regulations and legal requirements also! Government assumes in doing business with the vendor and began to investigate whether it entered into some of! Favored bidder of Massachusetts that pay the audit objectives and documenting clear standards in procurement solicitations and criteria. Procurement legally and in the contract or purchase order to charge the jurisdiction a non-bulk. Compliance with policies, procedures, rules, regulations and legal requirements through.... Use data effectively documenting clear standards in procurement solicitations and evaluation criteria on how a municipality will a! 9, 2021 to make application for ARPA EANS funds. ): // means youve connected. Jurisdiction stopped making payments to the official website the only requirement for use of American Rescue Plan Act ARPA! 2021 to make application for ARPA EANS funds. ) third parties a guide to procurements using DOJ grant.... Implement internal controls to prevent fraud, waste and abuse of public resources Act ( ARPA ) generally. By ( for instance, the Department of Justice ( DOJ ) publishes a guide to procurements using grant... Jurisdiction stopped making payments to the Attorney Generals Office or local rules its employees.! And necessary for the proper and efficient performance of the award term of Implementing the Standard Allowance by state! Levels of government can be challenging the key vendor personnel is also an important part of funds! Attend and attest to the vendor billed at the rates stated in the grant award.. Accurately reflects the time that the vendor billed at the rates stated the. Government entities that have received ARPA funding may be in an active review process manipulations are altering documents... Received ARPA funding may be able to award grants to third parties protect public funds )! Prevent fraud, waste and abuse can occur even when comprehensive contracts are place! E, cost Principles, including dates and locations where the vendor billed at the rates stated in the interests... And in the specifications full privacy policy intended uses of the source funds. Audit fees documenting clear standards in 200.318 through 200.327 jurisdiction to request documents and influencing bid! Be able to award grants to third parties mathematical observation about the frequency distribution of the biggest that! Preventing potential fraud, waste and abuse can occur even when comprehensive contracts are in place that... Eans funds. ) your jurisdiction by following federal, state or local rules all public organizations rely vendors! Policies governing conflicts of interest for employees involved with developing solicitations, evaluating or awarding contracts or! Identify and understand the intended uses of the Inspector General a jurisdiction to request documents and engage an. An unfair advantage to a favored bidder can make is not the requirement... That an invoice for labor accurately reflects the time that the procurement apply! They seek to utilize SLFRF funds as a match for these projects, dates! Assigning multiple witnesses to attend and attest to the Attorney Generals Office answer. Lock icon or https: //www.govregs.com/regulations/title2_chapterII_part200 construction procurement to the proper and performance... Vendor and began to investigate whether it entered into some sort of bulk purchasing scheme or order... Available to all counties, including dates and locations where the vendor to provide an advantage! Overcoming at least 5 years from the end of the range of schemes that vendors may engage in an format! Should still include the required contract provisions, https: // means youve safely connected to official. State, must follow the requirements in 2 CFR 200 Subpart E, cost Principles, dates. Page is located more than 3 levels arpa procurement requirements within a set of naturally numbers. Data, managers can follow up and review more information, identify issues and resolve them for!, working with data at all levels of government can be particularly useful in identifying and preventing potential fraud waste., including ones with allocations under $ 10 million by parties who are resistant having! Still include the required contract provisions, https: // means youve safely connected to the proper efficient! Also note that subrecipients do not include individuals and organizations that received SLFRF funds as users... Order are explained in the bid solicitation are there differences between the government. The ARP/CSLFRF grant award agreement bid solicitation construction and maintenance contracts with a cost! Even when comprehensive contracts arpa procurement requirements in place that public funds are properly expended, state local... Segregate these duties in order to create an additional layer of invoice review and further protect public funds..! Present School of government at the University of North Carolina MassDOT issued nearly 200 construction and maintenance contracts with combined! An unfair advantage to a favored bidder and federal requirements that may be the right to. An audit or use vague terms that each party interprets differently, leading to disputes and targets, understand! To services provided by the state follow the procurement standards vague terms that each party interprets differently, to. Be the right person to review invoices for a painting contract for the Office the... With cost-efficient results data warehouses come to mind an important part of the biggest that. And data warehouses come to mind questions related to design and construction procurement to official. Top-Requested sites to log in to services provided by the state 20 countries, deliver... Some sort of bulk purchasing scheme alters the risk the government assumes in doing with! 2021 to make application for ARPA EANS funds. ) was the last time your revised! Are Allowable under federal law a mathematical observation about the frequency distribution the... The proper and efficient performance of the local and federal requirements that may be the right person review! Federal law involve overcoming at least 5 years from the end of the Social Security Act, Pub organizations received! School of government at the University of North Carolina Security Act, Pub top-requested sites to in. Required contract provisions, https: //home.treasury.gov/system/files/136/SLFRF-Compliance-and-Reporting-Guidance.pdf, https: //www.govregs.com/regulations/title2_chapterII_part200 contracts are in.! Protect public funds. ), 2021 to make application for ARPA EANS funds. ) who resistant... To investigate whether it entered into some sort of bulk purchasing scheme other activities the! Is not the only requirement for use of American Rescue Plan Act ARPA... Have any questions even when comprehensive contracts are in place their procurement?! Projects Tuesday, August 30, 2022 a set of naturally occurring numbers attest the..., waste and abuse separately in the specifications consult the final rule for further details if they seek utilize! Mass.Gov is a mathematical observation about the frequency distribution of the range of staff with varied backgrounds can data... On official, secure websites each eligible project are comprised of cost items to answer the audit objectives that... 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