§ 4280.225 Use of funds.
See the Cost Principles located at 2 CFR part 200, subpart E. Additional information about allowable and unallowable uses of funds are described as follows.
(a) Allowable uses of funds. The following categories of expense are allowable, provided that they are incurred after a Federal Award has been approved under this subpart.
(1) Salaries;
(2) Fringe benefits;
(3) Travel expenses;
(4) Office supplies;
(5) Contractual expenses for qualified contractors to perform EA and REDA; and
(6) Indirect costs up to five percent of the Federal Award made under this subpart. Note that this limitation is statutory and is in effect regardless of whether the Applicant has a Negotiated Indirect Cost Rate Agreement with the Federal government.
(b) Unallowable uses of funds. The following categories of expense are not allowable.
(1) Real Property purchase or improvements;
(2) Building or facility planning, developing, repair, rehabilitation, or acquisition;
(3) Equipment purchase, lease, or installation, that is not part of the RES or EEI;
(4) Vehicle purchase or repair;
(5) Construction and construction-related activities;
(6) Cost of preparing the application for financial assistance under this subpart;
(7) Any expenses not directly related to the funded Project;
(8) Payment or waiver of student tuition, including for graduate students;
(9) Costs associated with training individuals to become qualified to conduct EA or REDA;
(10) Promotional items including, but not limited to, pens, cups, apparel, magnets, and decorations.
(11) Raffles;
(12) More than 10 percent of Project Costs for outreach and marketing of the Recipient's available services under the proposed work plan;
(13) More than 5 percent of the Federal Award amount requested for indirect costs;
(14) Goods and services provided by an individual or entity that has a conflict of interest, as described in § 4280.206;
(15) Payment of any judgment or debt owed to the United States;
(16) Political or lobbying activities, consistent with 31 U.S.C. 1352 (g)(1); and
(17) Activities considered unallowable by the applicable cost principles, mostly of which are included in 2 CFR part 200, subpart E.