Length and Time Phasing of Assistance
Funds must be expended or obligated in the year for which the appropriation was made. Unliquidated obligations must be paid in the fiscal year following the year of appropriation. Funds are released quarterly as needed to finance current operations.
Formula and Matching Requirements
The Act provides that the Secretary in consultation with the Animal Health Science Research Advisory Board shall distribute 48 percent of the funds to the States on the basis of livestock value and income as determined by the U.S.D.A. data. Forty-eight percent of the funds shall be distributed on the basis of animal health and disease research capacity of eligible institutions. Distribution of a State's allocation among its eligible institutions is made on the basis of the animal health research capacity of these institutions. Animal health research capacity is measured by the annual expenditures (excluding Section 1433 funds) and scientist year equivalents in animal health and disease research in eligible institutions. The Act limits the annual Federal payment a State may receive in excess of $100,000 to that amount made available and budgeted from nonfederal sources for expenditures on animal health and disease research.
A formula may be based on population, per capita income, and other statistical factors. Applicants are informed whether there are any matching requirements to be met when participating in the cost of a project. In general, the matching share represents that portion of the project costs not borne by the Federal government. Attachment F of OMB Circular No. A-102 (Office of Management and Budget) sets forth the criteria and procedures for the evaluation of matching share requirements which may be cash or in-kind contributions made by State and local governments or other agencies, institutions, private organizations, or individuals to satisfy matching requirements of Federal grants or loans.
Cash contributions represent the grantees' cash outlay, including the outlay of money contributed to the grantee by other public agencies, institutions, private organizations, or individuals. When authorized by Federal regulation, Federal funds received from other grants may be considered as the grantees' cash contribution.
In-kind contributions represent the value of noncash contributions provided by the grantee, other public agencies and institutions, private organizations or individuals. In-kind contributions may consist of charges for real property and equipment, and value of goods and services directly benefiting and specifically identifiable to the grant program. When authorized by Federal legislation, property purchased with Federal funds may be considered as grantees' in-kind contribution.
Maintenance of effort (MOE) is a requirement contained in certain legislation, regulations, or administrative policies stating that a grantee must maintain a specified level of financial effort in a specific area in order to receive Federal grant funds, and that the Federal grant funds may be used only to supplement, not supplant, the level of grantee funds.