Date: 24 January 1996

Procedure # :600.100

Written By: Ralph Earhart, Director, Financial Services

1.0 Introduction

A. The cost principles for educational institutions (OMB A-21) require prior approval from grantor agencies for certain items. This prior approval needs be obtained prior to the items being procured. Generally there will be no problem receiving the prior approval if the item is required to complete the grant work.

2. Procedure

A. Prior approval must be obtained prior to procuring any of the items noted below on a grant. That prior approval may consist of the expenditure type being indicated in the grant application or it may be obtained from the grant program office during the time of the grant.

B. The prior approval will be obtained in writing and a copy will be placed in the grant folder.

C. Prior approval is required for the following items:

-Costs related to rearrangement and alteration of facilities
-Capital expenditures (including equipment)
-Insurance and indemnification expenses
-Pre-award costs
-Public information costs