Tribal Child Support Enforcement (CSE) – IV-D Computing The Non-Federal Share National Tribal Child Support Conference June

OVERVIEW Why Match What Counts as Match How to Treat Match Costs How to Value In-Kind Matching Costs How the Federal Government Computes Match on 424a How the Federal Government Checks Match Requirement Questions 2

WHY MATCH 3

Sharing Financial Accountability Expands the program services Ensures consistent accountability for both parties. – best management of funding is mutually beneficial. – Guards against misuse because the Federal share will be disallowed if misused. 45 CFR (d) – 0% Start-up, 10% 3 years, 20% thereafter. 4

What Counts As Match Cash – Directly from the grantee; – From a Non-Federal 3 rd Party Source Exception: Appropriated Funds In-kind directly from the grantee; In-kind from 3 rd party sources to the grantee. 5

Considerations About Matching Costs Federal and Non-Federal costs on a grant meet same requirements: – Allocable to the program. – Allowable by the program, not specifically disallowed. – Reasonable. 6

Valuation: Spinning Straw into Gold Convert in-kind costs into a cash value. Use Market Valuation; – Donated Services; – Donated Equipment; – Donated property. 7

Example: Donated Services Assume you have a person who is professionally compensated $25 per hour. They donate some time to your program answering phones, a service for which you typically pay $10 per hour. They donate 4 hours of their time answering phones. What is the value of their time if it is going to be counted as non-federal share for the grant? 8

Example: Donated Copier Assume that a copier (Canon Image Class Laser Multi Function) has been donated to your program. The copier is brand new. How would you document the value the copier? 9

Example: Donated Office Space Assume 2000 square feet of office space was provided to your program out of an 10,000 Sqft. building. How would you value the office space? – For rent: 3 rd party assessment/appraisal; – For “use and maintenance”: use actuals costs and prorate them for 2000/10000 or 20%; – For depreciation: use IRS depreciation schedule and then prorate the share to your program. 10

HOW THE FEDERAL GOVERNMENT COMPUTES MATCH ON 424A 11

How the Federal Government Computes Non-Federal Share on the 424A 12

Non-Federal Share > 20% When you have provided more non-federal share than is needed by program requirements you can: – Check the date of obligation – if the date occurred in the project period then it must stay with that grant or it may be transferred to a different program. – OR…receive additional funding. 13

Example: Excess Match 14

Non-Federal Share < 20% For every dollar of non-federal share of funding that was not provided, nine, or eight dollars of federal funding will be deobligated. 15

Example: Insufficient Match 16

Non-Federal Share = 20% No further action – Nice work! 17

Questions/Comments 18