Section 47.56. Eligible and ineligible costs.

 

(1)   Eligible costs, reimbursable. Reasonable and necessary project costs which are consistent with the approved project scope and incurred during the project period are eligible for grant funding. Eligible costs may include, but are not limited to:

(a) Salaries and fringe benefit costs of personnel engaged in the project;

(b) The cost of necessary supplies and equipment. Equipment costing more than $5,000 per unit is not eligible. To be fully eligible project costs under the grant, a capital purchase shall be used exclusively for project-related purposes over its useful life. Nonexclusive capital purchases may be charged as project costs only for that portion of depreciation equitably related to use in project activities.

(c) The costs of leased equipment and facilities for the length of the project;

(d) The reasonable value of in-kind contributions by the applicant of labor, equipment or facilities. Direct costs shall be supported by time sheets, vouchers or similar documentation reflecting specific assignment to the project. Actual fringe benefits may not exceed the current department fringe rate percentage of the direct labor costs claimed. The rate is established biennially by the department of administration and is available from the department urban forestry coordinators. Equipment rental rates may not exceed the county equipment rates established annually by the department of transportation and published in chapter 5 of the state highway maintenance manual. These rates are also available from the department urban forestry coordinators.

(e) Contract costs of qualified vendors to perform project activities.

(2)   Eligible costs, non-reimbursable. Reasonable value of donated labor, equipment, supplies, facilities or services are eligible project costs for the purposes of match, but are not eligible for reimbursement. To be fully eligible project costs under the grant, a capital donation shall be used exclusively for project-related purposes over its useful life. Nonexclusive capital donations may be charged as project costs only for that portion of depreciation equitably related to use in project activities. Value of donated labor will be calculated using rates established by the department.

(3)   Ineligible costs. Costs not directly associated with or necessary for the implementation of the project as determined by the department are ineligible for grant funding. Ineligible costs include, but are not limited to:

(a) Fines and penalties due to violations of, or failure to comply with, federal, state or local laws or regulations;

(b) Ordinary operating expenses of local government applicants, also known as indirect costs, such as salaries and expenses of a mayor or city council members, that are not directly related to the project;

(c) Costs for which payment has been or will be received under another federal or state financial assistance program except that community development block grants may be used to match urban forestry grants only when it can be demonstrated to the department's satisfaction that there is a local commitment to, and involvement in, the project;

(d) Costs incurred in a contract which creates a real or apparent conflict of interest. An apparent conflict of interest arises when an official or employee of a grantee participates in the selection, awarding or administration of a contract supported by this project and:

1. The official or employee, or his or her spouse or partner, has an ownership interest in the firm selected for the contract; or

2. A person identified in subd. 1. receives a contract, gratuity or favor from the award of the contract.

(e) Program costs incurred before or after the project period.

(f) Capital purchases that exceed $5,000.

Cr. Register, August, 1992, No. 440 , eff. 9-1-92; am. (1) (b), (d) and (2), renum. (3) (a) and (b) to be (3) (intro.) to (d) and (e) and am. (3) (b) and (c), cr. (3) (f), Register. May, 1999, No. 521, eff. 6-1-99.