4013 USE OF GRANT FUNDS BY COMPETITIVE AND NON-COMPETITIVE GRANTEES

4013.1 Grant funds may not be used for to pay for:

1. (a) Costs paid for with other District government funds;
2. (b) Serving youth who reside outside the District;
3. (c) Alcohol;
4. (d) Bad debts;
5. (e) Contingencies;
6. (f) Indemnity insurance;
7. (g) Pension plans;
8. (h) Post-retirement benefits;
9. (i) General legal or other legal professional services (except that grant funds may be used to pay program-related legal fees if approved in advanced by the OST Office);
10. (j) Land, buildings, or capital improvements;
11. (k) The purchase of vehicles;
12. (l) Entertainment or social activities;
13. (m) Food or beverages associated with entertainment or social activities;
14. (n) Food or beverages for staff, contractors, or volunteers;
15. (o) Interest on loans;
16. (p) Fines or penalties;
17. (q) Fundraising;
18. (r) Investment management costs;
19. (s) Lobbying activities;

(t) Membership to lobbying organizations;

(u) Direct gifts to lobbying campaigns;

(v) Public relations of the organization (for example, displays, advertisements, exhibits, conventions, travel);

(w) Faith-based activities;

(x) Staff or board bonuses or staff or board incentives; or

(y) Fees or other payments to government agencies except as may be needed to comply with the OST Program's background checks policy.

4013.2 Additional restrictions on the use of grant funds may be imposed by the OST Office in a grant agreement.

4013.3 In addition to the restrictions set forth in § 4013.1, a grantee may not make an expenditure of OST grant funds that is inconsistent with the budget in the grantee's grant agreement. A grantee may request a modification to the budget in the grant agreement by submitting a budget modification request to the OST Office. The budget modification request must include an updated budget and a detailed rationale for each significant change to the budget. The budget modification request is subject to approval by the OST Office and approval shall be in the OST Office's sole discretion. Notwithstanding the foregoing, the grantee may modify the budget in the grantee's grant agreement without the approval of the OST Office if the modification to the budget, in combination with any other prior budget modifications under this provision, does not result in a change of ten percent (10%) or more in any budget line item throughout the grant period, unless otherwise provided in the grant agreement.

SOURCE: Final Rulemaking published at 68 DCR 1699 (February 5, 2021).