Subawardee

A 'subawardee' is an entity (e.g., a company, university, or non-profit organization) that receives a portion of a grant or contract from a primary awardee (the 'prime contractor') to carry out specific tasks or activities within a larger project. This relationship typically involves a formal agreement outlining the scope of work, budget, and reporting requirements. Subawardees often possess specialized expertise or resources that complement the prime awardee's capabilities, facilitating efficient project completion. The subaward mechanism allows for broader participation and leveraging of diverse skills.

Subawardee meaning with examples

• The university acted as the prime awardee, and *the Small Business Research Institute* was *the subawardee*, conducting a specialized analysis on data security for the project. The prime's scope included outreach, project direction, and final reporting to the funder and awarded the Institute nearly a third of the budget to complete their tasks. They are required to use a particular grant management software.
• The government contracted *a large defense company*, which in turn designated *XYZ Technology* *as a subawardee* for the development of a new software component. XYZ Technology specializes in cybersecurity systems and brought the necessary expertise. Their work plan had to align perfectly with the primes. subawardee status brought both responsibilities, accountability, and compliance requirements.
• *A research hospital* received a substantial grant to study cancer treatment, with *a biotechnology firm* named *as a subawardee* to conduct the laboratory experiments. The firm’s lab capabilities were essential, so they received funding to complete their task of testing the new protocols, the outcomes, and the impacts. Their reports went back through the hospital for inclusion.
• The non-profit organization became the prime awardee and granted *Community Outreach Services* subawardee status for its neighborhood projects. COS provided the local ground work, with the organization's goal to use a series of local groups to achieve greater reach and impact in a wide variety of programs. The subaward was integral to the success of the project.
• The federal agency contracted *a consulting firm*, and in turn, *designated a university's environmental department as the subawardee* to provide environmental assessments. The agency provided funding to the firm, which delegated resources to the university to collect and analyze data. The university then reported the outcome of the investigation and the environmental assessment.