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Budget - Maintenance and Repair Costs - B05.05

Purpose

This procedure includes general guidelines regarding the costs of maintenance and repair costs. Maintenance and repair costs charged to federal grants is regulated under the OMB Uniform Guide 2 CFR §200.452 Maintenance and repair costs.


Scope

This procedure applies to all sponsored projects subject to OU Policy 19.045 Administering External Grants and Contracts set up as separate accounts in the OHIO Financial Management System (FMS).


Procedure

Costs incurred for utilities, insurance, security, necessary maintenance, janitorial services, repair, or upkeep of building and equipment (including Federal property unless otherwise provided for) which neither add to the permanent value of the property nor appreciably prolong its intended life, but keep it in an efficient operating condition, are allowable.

Normally, maintenance and repair costs are included in the indirect cost rate and may not be directly charged to the grant or contract. In extraordinary circumstances, when costs above and beyond the normal cost of doing business are necessary, the agency may permit the direct charge of these costs. Direct charging of these costs requires specific prior approval from the agency. The inclusion of these costs in the proposal budget is not adequate approval for direct charging.

When approved in writing by the agency, maintenance and repair costs are included in the “Other” category on the internal budget template. The Sponsored Programs Manager (SPM) will assist with the agency specific budget requirements.


Questions

Questions regarding this procedure can be sent to orsp@ohio.edu .


Forms/Templates

Contact your Sponsored Programs Manager for the appropriate budget template


Roles and Responsibilities

OWNER: PI/PD

CONTRIBUTOR: CFAO/BUM, ORSP

APPROVER: Chair, Dean


References

OMB Circular 2 CFR 200.452 Maintenance and repair costs

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