Please refer to Modification 001 to DE-FOA-0000812 dated Dec. 26, 2012, which includes revisions to eligibility and requirements for performance of work in the US.
(a) As provided in Section II.H. of the modified FOA, all work under this FOA must be performed in the US, unless the prime recipient obtains a waiver of that requirement pursuant to Section IV.C.12. of the modified FOA. Only the prime recipient must have a U.S. subsidiary or affiliate; a foreign subrecipient is not required to have a U.S. subsidiary or affiliate.
(c) Yes, but any cost shared work by the foreign entity must be performed in the US unless a waiver of that requirement is obtained.