1. (a) An applicant must ensure that it possesses or can acquire the required matching funds to satisfy the matching funds requirement. An applicant's use of matching funds must comply with the same statutes, rules, regulations, and guidelines applicable to the use of the CJD-funded portion of a grant project.
2. (b) If matching funds are required on a grant, then the grantee must provide matching funds equal to or greater than the required minimum matching funds percentage of the total grant funds. Grantees will be held to and must report expenses for any matching funds included in the CJD-approved budget.
3. (c) A contractor or participating entity may contribute toward the matching funds requirement, but the applicant bears the ultimate responsibility for satisfying the matching funds requirement.
4. (d) Applicants may use funds received through program income to fulfill a matching funds requirement.
5. (e) Subject to CJD review and approval, on-call services may be used to meet match requirements. Grantees must justify a demonstrated need for on-call services and have an on-call policy that is approved by their governing board. The maximum value for time for a volunteer who is on-call shall not exceed 50% of the value of a volunteer's time while providing direct services. If the governing board has established a lower rate, then the lower rate must be used. The on-call policy must be submitted to CJD for approval.

6. (f) If an applicant applies for a grant under a funding source that allows in-kind contributions to satisfy part of the matching funds requirement, then the following rules apply:

   1. (1) In-kind contributions may consist of volunteer time, professional services, travel expenses, building space, non-expendable equipment, materials, and supplies contributed during the grant period to the applicant by a third party.
   2. (2) In-kind contributions may include depreciation and use fees for buildings or equipment acquired by the applicant before the start of the grant period and used in the grant project. However, the applicant may only count depreciation that will occur during the grant period as an in-kind contribution. Use fees qualify as an in-kind contribution only if supported by cost and depreciation records maintained by the applicant.

   3. (3) Applicants must maintain records of all in-kind contributions that include at least the following:

      1. (A) a full description of the item or service claimed;
      2. (B) the area, expressed in square feet, of any donated building space;
      3. (C) the name of the contributor;
      4. (D) the date of the contribution;
      5. (E) the fair market value of the contribution and how its value was determined; and
      6. (F) in the case of a discount given, the contributor's signature on an affidavit of worth stating that the donor gave the discount because of the project's purpose.

Source Note:The provisions of this §3.73 adopted to be effective February 24, 2000, 25 TexReg 1297; amended to be effective July 16, 2000, 25 TexReg 6485; amended to be effective September 9, 2001, 26 TexReg 6645; amended to be effective December 16, 2002, 27 TexReg 11729; amended to be effective October 13, 2003, 28 TexReg 8873; amended to be effective August 6, 2007, 32 TexReg 4747.