Can a non-profit organization require a grant be spent only at a specific company?

vertically challenged asked:

I want to find a reliable source for information regarding rules that non-profit organizatons must follow when granting funds. Specifically, is it legal for a funding organization require that their grant funds be spent by the grantee only at a specific provider?

Caffeinated Content

2 Comments

  1. StatIdiot says:

    Caffeinated Content

    government grants all come with contracts as to how the money can be spent and what it can be spent on

    part of a government agreement usually includes reporting responsibilities attached to the funding e.g. requiring an audit report

    this is from the perspective of the not for profit organisations being given funds by the government. I have never heard of a not for profit organisation which gives grants other than scholarship type arrangements and yes these can be worded so that the funds may only be spent with one supplier.

  2. fdm215 says:

    Kansieo.com

    Yes…it’s their money, they set the rules.