7 C.F.R. § 4284.1025

Current through November 30, 2024
Section 4284.1025 - Use of funds

Allowable and unallowable uses of funds are described as follows:

(a)Allowable uses of funds. The following types of activities and expenses are allowable:
(1) Producer Services as defined in § 4284.1003 .
(2) Costs associated with establishing and operating a Center, including legal services, accounting services, clerical assistance, technical services, office supplies, hiring employees, monitoring contracts, professional development for staff, attending conferences related to value-added agriculture and marketing food products, and Board of Directors travel.
(3) Additional information on allowability of costs can be found at 2 CFR part 200, subpart E, for all organization types.
(b)Unallowable uses of funds. The following types of activities and expenses are unallowable:
(1) Provide services to entities other than Agricultural Producers.
(2) Fund manufacturing or processing expenses, including test, trial, or initial production runs.
(3) Pay for interns or internships.
(4) Provide tuition remission or other financial support to students at any level of education.
(5) Provide participant support costs outside of the grants to Agricultural Producers.
(6) Fund any direct expenses for the production of any Agricultural Commodity or product to which value will be added, including seed, rootstock, labor for harvesting the crop, and delivery of the commodity to a processing facility; to include the purchase of an Agricultural Commodity.
(7) Plan, fund architectural work, repair, rehabilitate, acquire, or construct a building or facility, including a processing facility.
(8) Purchase Real Property.
(9) Purchase, rent, or install Equipment.
(10) Purchase or repair vehicles, including boats.
(11) Pay for the preparation of the grant application.
(12) Pay expenses not directly related to the funded project.
(13) Pay for any goods or services from a person or entity who has a conflict of interest with the Recipient (see § 4284.1006).
(14) Duplicate activities paid for by another Federal grant program.
(15) Pay costs of the project incurred prior to the date of award approval, unless authorized by the Agency at the time of award approval.
(16) Pay for assistance to any private business enterprise that does not have at least 51 percent ownership by those who are either citizens of the United States or reside in the United States after being legally admitted for permanent residence.
(17) Pay any judgment or debt owed to the United States.
(18) Fund any activities considered unallowable by the applicable cost principles, most of which are included in 2 CFR part 200, subpart E.

7 C.F.R. §4284.1025

89 FR 75789 , 11/15/2024