1 Monika Lacka U.S. EPA, Region 5 Grant Management: Fiscal Information

2 Budget Basics  Grant budget includes anticipated funding needed to achieve objectives  Includes any match or cost-share requirement

3 Budget Preparation  Budget is financial expression of project  Only necessary, reasonable costs should be included

4 Budget Preparation (cont.) Budget costs must be  Allowable  Allocable  Reasonable  Eligible  Necessary!

5 The official budget consists of a) Completed SF-424A, Section B, Budget Categories b) Budget Narrative Budget Preparation (cont.)

6 BUDGET INFORMATION Remember: The budget reflects TOTAL project costs.

7 Written explanation of costs contained in Object Class Categories should Be detailed Clearly describe costs Budget Narrative in addition to SF424A

8 Personnel Identify position, annual salary, %FTE, amount charged to grant Documentation: activity reports and timesheets must be kept Regulations found at 40 CFR Part 31 2 CFR Part 225 (formerly OMB A-87) Identify position, annual salary, %FTE, amount charged to grant Documentation: activity reports and timesheets must be kept Regulations found at 40 CFR Part 31 2 CFR Part 225 (formerly OMB A-87)

9 Travel List number of trips and travelers, destination(s) and purpose(s) of trips Airfare Per diem and lodging Mileage reimbursement Other transportation List number of trips and travelers, destination(s) and purpose(s) of trips Airfare Per diem and lodging Mileage reimbursement Other transportation

10 Equipment Items designated equipment per recipient’s policies (i.e., over $5,000 per unit cost) Inventory control With EPA approval, can be used for other EPA grants Items designated equipment per recipient’s policies (i.e., over $5,000 per unit cost) Inventory control With EPA approval, can be used for other EPA grants

11 Supplies Designated items per recipient’s policies, usually under certain threshold (i.e., less than $5,000 per unit cost) Paper, pens, pencils, Post-it notes Lab supplies, computers, software Field-survey supplies Designated items per recipient’s policies, usually under certain threshold (i.e., less than $5,000 per unit cost) Paper, pens, pencils, Post-it notes Lab supplies, computers, software Field-survey supplies

12 Contractual Budget contractors and services, not tribal employees Competitive proposals For sole source, documented cost analysis needed Budget contractors and services, not tribal employees Competitive proposals For sole source, documented cost analysis needed

13 ‘Other’ Direct Costs Conference/meeting room rental Phone and postage (cannot be included in indirect cost pool) Conference/training registration fees Conference/meeting room rental Phone and postage (cannot be included in indirect cost pool) Conference/training registration fees

14 Indirect Costs Costs incurred for common/joint purpose, a.k.a. “overhead costs” Allocable to more than one “cost objective” (grant or source) Not readily identifiable for specific program Examples: administrative staff, electricity, water, sewer, rent, phones, etc. (indirect-cost rate pool) Costs incurred for common/joint purpose, a.k.a. “overhead costs” Allocable to more than one “cost objective” (grant or source) Not readily identifiable for specific program Examples: administrative staff, electricity, water, sewer, rent, phones, etc. (indirect-cost rate pool)

15 Sample Budget Narrative Personnel - Tribal Air Quality Director ( 1.0 FTE) $17.00 per hour X 2080 hours per year $35,360 Fringe – 20% of fulltime personnel costs, including Social Security, worker’s comp, unemployment insurance, simple IRA $7,072 Travel – Training and meeting opportunities for tribal air quality director to attend regional and national meetings/conferences hosted by CENRAP, NTAA, Region 7 ROC, Regional Air Directors and Air Quality Workshops $8,000 Supplies – consumable office supply, maintenance material and parts $1,800 Other – office space/utilities (12 $400), internet access (12 $45), electricity to operate meteorological and CASTNET site (12 $300) $9,940 Total Direct Costs$62,172 Indirect Costs $15.27% of Total Direct Costs $9,494 Grand Total$71,666

16 Match (Non-Federal) Share 1) Determine total federal funds available - $120,000 2) Divide total federal funds available by maximum federal % allowed (federal 95%, non-federal 5%) $120,000 ÷ 0.95 = $126,315 3) Subtract federal amount from the total project costs Total project costs$126,315 Federal amount -120,000 Match $ 6,315 1) Determine total federal funds available - $120,000 2) Divide total federal funds available by maximum federal % allowed (federal 95%, non-federal 5%) $120,000 ÷ 0.95 = $126,315 3) Subtract federal amount from the total project costs Total project costs$126,315 Federal amount -120,000 Match $ 6,315