[Code of Federal Regulations]
[Title 40, Volume 1]
[Revised as of July 1, 2007]
From the U.S. Government Printing Office via GPO Access
[CITE: 40CFR30.25]
[Page 358-359]
TITLE 40--PROTECTION OF ENVIRONMENT
CHAPTER I--ENVIRONMENTAL PROTECTION AGENCY
PART 30_UNIFORM ADMINISTRATIVE REQUIREMENTS FOR GRANTS AND AGREEMENTS
WITH INSTITUTIONS OF HIGHER EDUCATION, HOSPITALS, AND OTHER NON-PROFIT
Subpart C_Post-Award Requirements
Sec. 30.25 Revision of budget and program plans.
(a) The budget plan is the financial expression of the project or
program as approved during the award process. The budget shall include
both the Federal and non-Federal share. It shall be related to
performance for program evaluation purposes whenever appropriate.
(b) Recipients are required to report deviations from budget and
program plans, and request prior approvals for budget and program plan
revisions, in accordance with this section.
(c) For nonconstruction awards, unless EPA regulations provide
otherwise, recipients shall request prior written approvals from:
(1) The EPA Award Official for the following:
(i) Change in the scope or the objective of the project or program
(even if there is no associated budget revision requiring prior written
approval).
(ii) The need for additional Federal funding.
(iii) The inclusion of costs that require prior approval in
accordance with OMB Circular A-21, ``Cost Principles for Institutions of
Higher Education,'' OMB Circular A-122, ``Cost Principles for Non-Profit
Organizations,'' or 45 CFR part 74 appendix E, ``Principles for
Determining Costs Applicable to Research and Development under Grants
and Contracts with Hospitals,'' or 48 CFR part 31, ``Contract Cost
Principles and Procedures,'' as applicable.
(2) The technical program office for the following:
(i) Change in a key person specified in the application or award
document.
(ii) The absence for more than three months, or a 25 percent
reduction in time devoted to the project, by the approved project
director or principal investigator.
(iii) The transfer of amounts budgeted for indirect costs to absorb
increases in direct costs, or vice versa.
(iv) The transfer of funds allotted for training allowances (direct
payment to trainees) to other categories of expense.
(v) Unless described in the application and funded in the approved
award, the subaward, transfer or contracting out of any work under an
award. This provision does not apply to the purchase of supplies,
material, equipment or general support services.
(d) No other prior approval requirements for specific items may be
imposed unless a deviation has been approved by OMB.
(e) Except for requirements listed in paragraphs (c)(1)(i) and (ii)
of this section, the EPA Award Official may waive cost-related and
administrative prior written approvals required by this part and OMB
cost principles. For awards that support research, these prior approval
requirements are automatically waived unless:
(1) EPA provides otherwise in the award or agency regulation or
(2) One of the conditions in paragraph (f)(2)(i) of this section
applies.
(f) Recipients are authorized without prior approval or a waiver to:
(1) Incur pre-award costs 90 calendar days prior to award.
(i) Pre-award costs incurred more than 90 calendar days prior to
award require the prior approval of the EPA Award Official.
(ii) The applicant must include all pre-award costs in its
application.
(iii) The applicant incurs such costs at its own risk (i.e., EPA is
under no obligation to reimburse such costs if for any reason the
recipient does not receive an award or if the award is less than
anticipated and inadequate to cover such costs).
[[Page 359]]
(iv) EPA will only allow pre-award costs without approval if there
are sufficient programmatic reasons for incurring the expenditures prior
to the award (e.g., time constraints, weather factors, etc.), they are
in conformance with the appropriate cost principles, and any procurement
complies with the requirements of this rule.
(2) Extend the expiration date of the award one time for up to 12
months.
(i) A one-time extension may not be initiated if:
(A) The terms and conditions of the award prohibit the extension;
(B) The extension requires additional Federal funds; or
(C) The extension involves any change in the approved objectives or
scope of the project.
(ii) For one-time extensions, the recipient must notify the EPA
Award Official in writing with the supporting reasons and revised
expiration date at least 10 days before the expiration date specified in
the award.
(iii) This one-time extension may not be exercised merely for the
purpose of using unobligated balances.
(3) Carry forward unobligated balances to subsequent funding periods
providing the recipient notifies the EPA Award Official by means of the
Financial Status Report.
(g) The EPA technical program office may, at its option, restrict
the transfer of funds among direct cost categories or programs,
functions and activities for awards in which the Federal share of the
project exceeds $100,000 and the cumulative amount of such transfers
exceeds or is expected to exceed 10 percent of the total budget as last
approved by EPA. Except as provided for at paragraph (c) of this
section, for awards in which the Federal share is less than $100,000
there are no restrictions on transfers of funds among direct cost
categories. EPA shall not permit a transfer that would cause any Federal
appropriation or part thereof to be used for purposes other than those
consistent with the original intent of the appropriation.
(h) All other changes to nonconstruction budgets, except for the
changes described in paragraph (j) of this section, do not require prior
approval.
(i) For construction awards, recipients shall request prior written
approval promptly from EPA for budget revisions whenever paragraph
(h)(1), (2) or (3) of this section applies.
(1) The revision results from changes in the scope or the objective
of the project or program.
(2) The need arises for additional Federal funds to complete the
project.
(3) A revision is desired which involves specific costs for which
prior written approval requirements may be imposed consistent with
applicable OMB cost principles listed in Sec. 30.27.
(j) No other prior approval requirements for specific items may be
imposed unless a deviation has been approved by OMB.
(k) When EPA makes an award that provides support for both
construction and nonconstruction work, EPA may require the recipient to
request prior approval before making any fund or budget transfers
between the two types of work supported.
(l) For both construction and nonconstruction awards, EPA shall
require recipients to notify the agency in writing promptly whenever the
amount of Federal authorized funds is expected to exceed the needs of
the recipient for the project period by more than $5000 or five percent
of the Federal award, whichever is greater. This notification shall not
be required if an application for additional funding is submitted for a
continuation award.
(m) When requesting approval for budget revisions, recipients shall
use the budget forms that were used in the application unless the EPA
indicates that a letter clearly describing the details of the request
will suffice.
(n) Within 30 calendar days from the date of receipt of the request
for budget revisions, EPA shall review the request and notify the
recipient whether the budget revisions have been approved. If the
revision is still under consideration at the end of 30 calendar days,
EPA shall inform the recipient in writing of the date when the recipient
may expect the decision.
