Attachment C.pdf

ETA Advisory File Text

ATTACHMENT C C-1 QUEST DWG Instruction Sheet for Completing the Budget Narrative You must complete the SF-424A Budget Information Form available at https www.grants.gov web grants forms sf-424-family.html sortby 1 . In preparing the Budget Information Form you must provide a concise narrative explanation to support each line item on the SF 424A which includes an itemization of the component costs adding up to the total projected cost for each line item. The calculations provided in the Budget Narrative must be accurate and the line item cost projections in the narrative must match the associated cost identified on the SF 424A. Each category should include the total cost for the period of performance. Use the following guidance for preparing the Budget Narrative. Personnel List all staff positions by title both current and proposed including the roles and responsibilities. For each position give the annual salary the percentage of time devoted to the project and the amount of each position s salary funded by the grant. Fringe Benefits Provide a breakdown of the amounts and percentages that comprise fringe benefit costs such as health insurance FICA retirement etc. Travel For grantee staff only specify the purpose number of staff traveling mileage per diem estimated number of in-state and out-of-state trips and other costs for each type of travel. Equipment Identify each item of equipment you expect to purchase that has an estimated acquisition cost of 5 000 or more per unit or if your capitalization level is less than 5 000 use your capitalization level and a useful lifetime of more than one year see 2 CFR 200.1 for the definition of Equipment . List the item quantity and the unit cost per item. Items with a unit cost of less than 5 000 are supplies not equipment. In generalI we do not permit the purchase of equipment during the last funded year of the grant. Supplies Identify categories of supplies e.g. office supplies in the detailed budget and list the item quantity and the unit cost per item. Supplies include all tangible personal property other than equipment see 2 CFR 200.1 for the definition of Supplies . Contractual Under the Contractual line item delineate contracts and subawards separately. Contracts are defined according to 2 CFR 200.1 as a legal instrument by which a non-federal entity purchases property or services needed to carry out the project or program under a federal award. A subaward defined by 2 CFR 200.1 means an award provided by a pass-through entity to a subrecipient for the subrecipient to carry out part of a federal award received by the pass-through entity. It does not include payments to a contractor or payments to an individual that is a beneficiary of a federal program. For each proposed contract and subaward specify the purpose and activities to be provided and the estimated cost. Construction Construction costs are not allowed and this line must be left as zero. Minor alterations to adjust an existing space for grant activities such as a classroom alteration may be allowable. We do not consider this as construction and you must show the costs on other appropriate lines such as Contractual. C-2 Other Provide clear and specific detail including costs for each item so that we are able to determine whether the costs are necess ary reasonable and allocable. List items such as stipends or incentives not covered elsewhere. Indirect Costs If you include an amount for indirect costs through a Negotiated Indirect Cost Rate Agreement or De Minimis on the SF -424A budget form th en include one of the following a If you have a Negotiated Indirect Cost Rate Agreement NICRA provide an explanation of how the indirect costs are calculated. This explanation should include which portion of each line item along with the associated costs are included in your cost allocation base. Also provide a current version of the NICRA. or b If you intend to claim indirect costs using the 10 percent de minimis rate please confirm that your organization meets the requirements as described in 2 CFR 200.414 f . Clearly state that your organization does not have a current negotiated including provisional rate and is not one described in 2 CFR 200 Appendix VII D 1 b . Applicants choosing to claim indirect costs using the de minimis rate mu st use Modified Total Direct Costs see 2 CFR 200.1 below for definition as their cost allocation base. Provide an explanation of which portion of each line item along with the associated costs are included in your cost allocation base. Note that ther e are various items not included in the calculation of Modified Total Direct Costs. See the definitions below to assist you in your calculation. 2 CFR 200.1 Modified Total Direct Cost MTDC means all direct salaries and wages applicable fringe benefits materials and supplies services travel and up to the first 25 000 of each subaward regardless of the period of performance of the subawards under the award . MTDC excludes equipment capital expenditures charges for patient care rental costs tuit ion remission scholarships and fellowships participant support costs and the portion of each subaward in excess of 25 000. Other items may be excluded only when necessary to avoid a serious inequity in the distribution of indirect costs and with the a pproval of the cognizant agency for indirect costs. The definition of MTDC in 2 CFR 200.1 no longer allows any sub -contracts to be included in the calculation. You will also note that participant support costs are not included in modified total direct cos t. Participant support costs are defined below. 2 CFR 200.1 Participant Support Cost means direct costs for items such as stipends or subsistence allowances travel allowances and registration fees paid to or on behalf of participants or trainees but not employees in connection with conferences or training projects. See Section IV.B.4. and Section IV.E.1 for more information. Additionally the following link contains information regarding the negotiation of Indirect Cost Rates at DOL https www.dol.gov agencies oasam centers -offices office -of-the -senior - procurement -executive cost -price -determination -division . C-3 Note that the SF -424 SF -424A and Budget Narrative must include the entire federal grant amount requested not just one year .