- (a) The Grant Contract shall include an Approved Budget that reflects the amount of the Grant Award funds to be spent for each Project Year.
- (b) All expenses charged to a Grant Award must be budgeted and reported in the appropriate budget category.
- (c) Actual expenditures under each category should not exceed budgeted amounts authorized by the Grant Contract as reflected on the Approved Budget for each Grant Award.
- (d) Recipients may make transfers between or among lines within budget categories listed on the Approved Budget so long as the transfer fits within the scope of the Grant Contract and the total Approved Budget; is beneficial to the achievement of project objectives; and is an efficient, effective use of Grant Award funds.
(e) All budget changes or transfers require Institute approval, except that the Grant Recipient may make budget changes or transfers without prior approval from the Institute for expenses not specified in the equipment category if:
- (1) The total dollar amount of all changes of any single line item (individually and in the aggregate) within budget categories other than equipment is not more than 10% of the amount in that line item;
- (2) The transfer will not increase or decrease the total grant budget; and
- (3) The transfer will not materially change the nature, performance level, or scope of the project.
(f) A Grant Recipient awarded a Grant Award for a multiyear project that fails to expend the total Project Year budget may carry forward the unexpended budget balance to the next Project Year.
- (1) If the amount of the unexpended budget balance in a Project Year exceeds ten percent (10%) of the total Grant Award amount, the Institute must approve the carry forward.
- (2) For a budget carry forward requiring Institute approval, the Grant Recipient must provide justification for why the total Grant Award amount should not be reduced by the unexpended balance.
Source Note:The provisions of this §703.25 adopted to be effective December 7, 2016, 41 TexReg 9527.