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Sub - recipients that receive all or a portion of the Recovery funding may report to the Federal <br />government based on guidance and direction from the prime recipient. Sub - recipients are non- <br />Federal entities that are awarded Recovery funding through a legal instrument from the prime <br />recipient to support the performance of any portion of the substantive project or program for <br />which the prime recipient received the Recovery funding. The terms and conditions of the <br />Federal award are carried forward to the sub - recipient. This sub -award could be in the form of a <br />sub -grant or sub - contract, but it is not considered a "federal government contract," as it is not <br />awarded directly by a Federal agency. A sub - recipient may also be a prime recipient of other <br />Federal awards directly from the Federal government. <br />Vendors, for the purposes of this guidance are entities or individuals from which the prime <br />recipient or sub - recipient procures goods or services needed to carry out the project or program. <br />Vendors are not awarded funds by the same means as sub - recipients and are not subject to the <br />terms and conditions of the federal financial assistance award. <br />39 <br />