--- title: Spending Transparency Heightens Accountability description: With spending transparency for grant recipients comes a multitude of benefits. --- [![facebook-white](https://info.amplifund.com/hubfs/facebook-white.svg)](https://www.facebook.com/AmpliFund/) [![twitter-white](https://info.amplifund.com/hubfs/twitter-white.svg)](https://twitter.com/AmpliFund_) [![LinkedIn-white](https://info.amplifund.com/hubfs/LinkedIn-white.svg)](https://www.linkedin.com/company/amplifund) - [Login](https://www.gotomygrants.com/account/login.aspx) - [Main Login](https://www.gotomygrants.com/account/login.aspx) - [IL Login](https://il.amplifund.com/) - [MT Login](https://mt.amplifund.com/) - [NE Login](https://ne.amplifund.com/) [![AmpliFund_Euna_Logo_Full Color](https://info.amplifund.com/hubfs/AmpliFund_Euna_Logo_Full%20Color.svg "AmpliFund_Euna_Logo_Full Color")](https://eunasolutions.com/) Toggle Menu - Solutions - [For Grant Makers](https://www.amplifund.com/grant-management-software/grant-maker/) - [For Grant Seekers](https://www.amplifund.com/grant-management-software/grant-seeker/) - [For Full Grant Lifecycle](https://www.amplifund.com/grant-management-software/for-full-grant-lifecycle/) - [Integration Capabilities](https://www.amplifund.com/grant-management-software/integration-capabilities/) - [Grant Writing & Consulting](https://www.amplifund.com/grant-management-software/grant-writing-consulting/) - [Grant Management Assistance](https://www.amplifund.com/grant-management-software/grant-management-assistance/) - Who We Serve - [State Government](https://www.amplifund.com/who-we-serve/state-government-grants-management/) - [Local Government](https://www.amplifund.com/who-we-serve/local-government-grants-management/) - [Tribal Government](https://www.amplifund.com/who-we-serve/tribal-grants-management/) - [Additional Markets](https://www.amplifund.com/who-we-serve/additional-markets-grants-management/) - [Learning Hub](https://www.amplifund.com/learning-hub/) - [Resources](https://www.amplifund.com/learning-hub/resources/) - [Case Studies](https://www.amplifund.com/learning-hub/customer-stories/) - [Blog](https://www.amplifund.com/learning-hub/resources/articles/) - [Events](https://www.amplifund.com/learning-hub/upcoming-events/) - [Custom Grants Training](https://www.amplifund.com/learning-hub/custom-grants-training/) - About - [About Us](https://www.amplifund.com/about-us/) - [Partners](https://www.amplifund.com/about-us/partner-with-amplifund/) - [Careers](https://www.amplifund.com/about-us/careers/) - [Security and Privacy](https://www.amplifund.com/about-us/security-and-privacy/) - [Accessibility](https://www.amplifund.com/about-us/accessibility/) - [Request a Demo](https://www.amplifund.com/request-a-demo/) # Spending Transparency Heightens Accountability By [Rachel Bennett](https://info.amplifund.com/blog/author/rachel-bennett), Head of Marketing February 25, 2020 ![spending-transparency-accountability.jpg](https://www.streamlinksoftware.com/hubfs/Imported_Blog_Media/spending-transparency-accountability-1.jpg "spending-transparency-accountability.jpg") With spending transparency for grant recipients comes a multitude of benefits. **Trust and goodwill** is established with those providing funding, as well as those receiving services and benefits from the grant funds. Transparency also leads to two key types of **accountability**. First, fund recipients are held accountable for providing the services and achieving known objectives. Second, when spending is transparent, there is an increased level of oversight that results in lowering the chance of fraud or mismanagement. ## Federal Grants: Not Always Transparent State and local governments traditionally had a high level of transparency for many funding types, resulting in healthy democratic debate on priorities. For example, school board expenditures and decisions are normally well known and frequently the subject of detailed discussions. State and local financial reports also make it clear how dollars are allocated and used for services, such as police and fire protection, or highway maintenance. **However, the emergence over the past 50 years of federal grant programs to fund projects and services has muddied the water.** Today, there is no real transparency with grants, which makes it extremely hard to see where funds are spent. ## Centralize to Make Crystal Clear Numerous federal agencies make money available to grantees with **no centralized accounting or reporting system**. As a result, there is no way for taxpayers to see where, and for what, money was being spent across the federal government. At the Recovery Accountability and Transparency Board, where I served as executive director, we worked diligently to make the $840 billion in government stimulus spending transparent. We did this by collecting reports directly from recipients and displaying the information on the website, Recovery.gov. Information was presented in easy-to-understand formats, including spending data at the zip-code level. This success in transparency was key to achieving high degrees of accountability for overall Recovery spending. ## Learning from Recovery.gov Last year, the Recovery Board ran a very small pilot in to see if broader grant reporting could be accomplished in a similar fashion to the Recovery Act. The **Grant Reporting Information Project (GRIP) was successful as a proof of concept** for collecting grant financial data in a standard and consistent format using a centralized system. The data could then be downloaded and analyzed by the funding agencies, or any individual or organization wishing to review it. Congress recognized the value of this small pilot by including a larger grant-reporting pilot in the [Digital Accountability and Transparency Act](https://info.amplifund.com/blog/federal-regulations) (DATA Act). This Act has now passed the House and a version is moving through the Senate. I am optimistic that with the proven success of transparency under the Recovery Act, and positive indications regarding the DATA Act, that **grant transparency will be enhanced over the next several years** accruing associated accountability. *For more from Mike Wood and other industry thought leaders on increased grant transparency and accountability, download our whitepaper, [The Changing Landscape of Grant Reporting](https://info.amplifund.com/resources/resource-the-changing-landscape-of-grant-reporting).* Topics: [Drive Best Practices](https://info.amplifund.com/blog/topic/topic-drive-best-practices), [See Your Impact](https://info.amplifund.com/blog/topic/topic-see-your-impact) ### Share: [Send](mailto:?subject=Spending%20Transparency%20Heightens%20Accountability&body=https://info.amplifund.com/blog/spending-transparency-heightens-accountability) [LinkedIn](https://www.linkedin.com/sharing/share-offsite/?url=https://info.amplifund.com/blog/spending-transparency-heightens-accountability) [Facebook](https://www.facebook.com/sharer/sharer.php?u=https://info.amplifund.com/blog/spending-transparency-heightens-accountability) [Twitter](https://twitter.com/intent/tweet?url=https://info.amplifund.com/blog/spending-transparency-heightens-accountability) ### Essential Resource [![Explainer: OMB's 2024 Uniform Grant Guidance Updates and Changes](https://no-cache.hubspot.com/cta/default/106419/f9d54e79-62b7-425d-98c6-2188e50181d8.png)](https://cta-redirect.hubspot.com/cta/redirect/106419/f9d54e79-62b7-425d-98c6-2188e50181d8) ### Related Blogs #### [Jillian Neimeister, CGMS, PMP The Benefits of a Grants Management Partner](https://info.amplifund.com/blog/benefits-of-a-grants-management-partner) #### [Jennifer Zarek, CGMS, LSSYB 3 Steps for Effective Grant Reporting](https://info.amplifund.com/blog/effective-grant-reporting) #### [Jillian Neimeister, CGMS, PMP How Grant Makers Can Refresh Their Grants Management Strategy in 4 Steps](https://info.amplifund.com/blog/refresh-grants-management-strategy-in-4-steps) ### Blogs by Tag - [Drive Best Practices](https://info.amplifund.com/blog/topic/topic-drive-best-practices) - [Local](https://info.amplifund.com/blog/topic/sector-local) - [State](https://info.amplifund.com/blog/topic/sector-state) - [Tribal](https://info.amplifund.com/blog/topic/sector-tribal) - [Maintain Reporting Compliance](https://info.amplifund.com/blog/topic/topic-maintain-reporting-compliance) - [Industry News](https://info.amplifund.com/blog/topic/topic-industry-news) - [See Your Impact](https://info.amplifund.com/blog/topic/topic-see-your-impact) [Previous Blog Think Like an Auditor: How to Prepare for Grant Audits](https://info.amplifund.com/blog/think-like-an-auditor-how-to-prepare-for-grant-audits) [Next Blog Accountability Lessons When Managing Federal Spending Data](https://info.amplifund.com/blog/2-important-accountability-lessons-when-managing-federal-spending-data) ## Subscribe to our Blog and Resource updates. 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