In general, “substantial participation” refers to the degree to which federal officials directly execute or implement parts of the allocation program. In the case of a grant, the federal government maintains a more strict oversight and oversight function. In a cooperation agreement, federal officials are therefore more involved in the implementation of the program. If you read “cooperative,” think about working “side by side.” The specific possibilities for integrating this participation vary according to the program and the agency. Both cooperation contracts and grants “transfer value from the federal awarding agency or pass-through-unit to the non-federal agency to fulfill a public purpose.” Key Takeaways 1. Subsidies and cooperation agreements are very similar. 2. The differences lie in the details of implementation (i.e., cooperation agreements are accompanied by “substantial participation” by the federal agency). 3. There are also legal implications of these different agreements, so read the agreements carefully and discuss them with the lawyers. A co-operative agreement “distinguishes itself from a grant in that it provides for substantial participation between the federal granting agency or the passport unit and the non-federal agency in the exercise of the activity under the federal award.” The question now is: What is a “substantial commitment” from the federal government? The main difference between a grant and a cooperation agreement is that, in the case of a grant, there is not much substantial interaction between the federal government and the recipient. In a cooperation agreement, the federal government is crucially associated with the declared agreement.
In developing a cooperation agreement, the following issues should be taken into account: “WHO and the Global Fund have a common mission and a commitment to serve countries. These new agreements expand our close cooperation,” said Dr Tedros Adhanom Ghebreyesus, WHO Director-General. “Partnerships will continue to be critical to the achievement of WHO`s mission. We cannot do this alone and we can count on partners like the Global Fund to promote health – to keep the world safe – and serve vulnerable people. Today, WHO and the Global Fund signed cooperation and funding agreements worth an estimated $50 million to continue invaluable technical assistance to countries battling AIDS, tuberculosis and malaria and to make significant progress in the development of universal health care. On Grants.gov, of course, we have public subsidies, but you will also find many “cooperation agreements” if you are looking for financing. This is because cooperation agreements and subsidies are very similar, but with a big difference. India and the United States have already signed three important basic agreements: the General Security of Military Information Agreement (GSOMIA) in 2002, the Logistics Exchange Agreement (LEMOA) in 2016 and the Communications Compatibility and Security Agreement (COMCASA) in 2018.