APG - Statement of Work.docx

ATTACHMENT 1 – STATEMENT OF WORK

1.0 INTRODUCTION

1.1 This cooperative agreement (CA) is entered into between the United States of America, hereinafter called the Government, represented by the U.S. Army Contracting Command, Mission and Installation Contracting Command (MICC), and PARTNER NAME (hereinafter referred to as Recipient or as PARTNER INITIALS).

1.2 Aberdeen Proving Ground (APG), with the concurrence of the Department of the Army has determined that it is in the best interest of the Army to take steps necessary to create the Army Compatible Use Buffers (ACUBs) for the protection of open lands and other natural resources to avoid or minimize potential adverse impacts to APG’s training or testing mission.

1.3 The development of lands in the vicinity of APG for incompatible purposes will likely result in conflicts and land use restrictions adversely impacting necessary military activities. ACUBs preserving open lands and natural resources near APG will lessen land-use restrictions on military lands and programs.

1.4 A significant and necessary element of ACUBs is the limiting of and planned management of residential or commercial development of properties adjacent to or in the vicinity of installations and their mission activities. Management of such development can be achieved by acquiring permanent easements or other land use controls that restrict development of open lands and conserve natural resources adjacent to or in the vicinity of installations and their mission activities. These land use actions will restrict development of private lands but allow for continued private ownership and may permit compatible open space uses such as, but not limited to, agricultural uses, ranching, utility infrastructure, and passive outdoor low intensity recreation.

1.5 Recipient certifies and represents that it is a not-for-profit corporation, organized and incorporated under the laws of the State of Maryland and authorized to conduct business in the State of Maryland. The stated principal organizational purpose of PARTNER is INSERT MISSION STATEMENT and therefore is an eligible entity in accordance with 10 U.S.C. § 2684a(b)(2).

OR if partner is a state agency, delete the first 1.5 section above and use:

1.5 PARTNER certifies that it is a State or political subdivision of a State and therefore and eligible entity in accordance with 10 U.S.C. § 2684a (b)(1).

1.6 The Recipient is committed to working with APG to preserve open space and natural resources near APG for the benefit of the residents of surrounding communities and the State of Maryland and to avoid or minimize the potential for adverse impacts to APG’s training and testing mission.

1.7 Recipient’s Board of Directors and Staff have the proven expertise to encumber private lands with permanent conservation easements or other means, and to work collaboratively with private landowners and public agencies to develop land use plans that provide for land uses that are consistent with such easements.

1.8 This CA provides that, in the implementation of this CA, the Recipient shall only take direction from the Technical Cooperative Agreement Manager (TCAM), Cooperative Agreement Manager (CAM), Alternate Cooperative Agreement Manger (ACAM), Agreements Administrator (AA), or Grants Officer (GO).

1.9 Nothing in this CA is meant to preclude Recipient from conducting their normal business outside of ACUB.

2.0 BACKGROUND

2.1 Incompatible uses of lands adjacent to APG and other military installations have resulted in a threat of curtailment of significant testing and training functions or other mission activities at APG and elsewhere. The scope of this CA allows for the acquisition of land or an interest in land and/or water rights, by Recipient, in order to protect those testing, training and mission activities.

2.2 Many promising concepts and strategies for development of ACUBs have been developed by the Department of the Army and private conservation organizations. They include the purchase of interests in real property restricting inappropriate land uses, providing for compatible open space land uses, and engaging local communities in land use planning efforts. Any funding of these efforts is subject to the availability of funding.

2.3 There is continuing urgency in executing an ACUB at APG that is underscored by the rapid development of residential and commercial land uses on properties adjacent to APG. The private parcels of land along the boundaries and in the vicinity of APG would not only provide important open space resources to local residents, but also would serve to buffer the installation and mission activities from rapidly expanding incompatible land uses. There is ample opportunity to promote compatible land use, protect water quality of streams and watersheds, and create passive outdoor recreation opportunities on much of these lands where appropriate. Both Recipient and APG agree that each encumbrance will be consistent with their mission objectives. These actions will support both the preservation of open space resources as well as increase the flexibility of the military mission at APG.

3.0 OBJECTIVES

3.1 This CA’s primary purpose is to support and sustain the military mission and help facilitate future testing and training requirements at APG through prevention, reduction, or elimination of incompatible land uses on properties adjacent to and/or in the vicinity of APG and their mission activities. This is achieved by encumbering private property with permanent easements or similar permanent land use restrictions.

3.2 This CA also aims to conserve significant sections of open lands near APG for the purposes of encouraging effective conservation, enhancement and restoration of natural resources on and around Aberdeen Proving Ground, including critical forest, wetland, river and stream habitats, riparian buffers, and critical habitat for regulated fauna. Projects completed under this CA may help APG comply with the Chesapeake Bay Total Maximum Daily Load guidance; relieve or reduce environmental regulatory restrictions relating to wetlands and Maryland’s Coastal Management Program and increase APG’s resilience to climate change, sea level rise and coastal storm events.

3.3 This CA may assist in improving the Army’s relationship and collaborations with local communities by demonstrating its continued commitment to regional conservation goals and recognition of important community interests.

4.0 RECIPIENT PROJECT TASKS

4.1 Recipient will work with APG to set priorities and develop an ACUB acquisition strategy that is appropriate for the long-term goal of meeting the purposes of the CA. Priorities may be re-evaluated upon development of other compelling relevant information. When a property is part of a cost share opportunity under ACUB, it must be supported by concurrence of APG to ensure that the terms support the military mission and other objectives of the CA.

4.2 After approval from the Technical Cooperative Agreement Manager (TCAM), Recipient will establish contact with the owners of priority parcels in priority areas designated by the CA or as otherwise contained in an approved ACUB proposal.

4.3 If Recipient reaches an agreement in principle for the purchase of a real property interest, Recipient will submit a written Request to Proceed with due diligence on the property to the APG TCAM. If APG concurs and funding is available, a formal Notice to Proceed with due diligence will be issued, to include the costs to the military and Recipient. Notwithstanding anything contained herein, the Recipient may enter into an option or other purchase agreement with landowners within the project area of this CA prior to receiving a written NTP, provided such agreements do not contain or imply any commitments by the US Government.

4.4 After receiving a Notice to Proceed with due diligence, Recipient will perform due diligence and confer as set forth below prior to acquisition of the real property interest. This will include, at a minimum:

4.4.1 Appraisal of the interest being acquired to establish Fair Market Value using methods and standards substantially equivalent to 42 U.S.C. § 4651.

4.4.2 An environmental site assessment (ESA) that complies with the requirements of 42 U.S.C. § 9601(35)(B)(i) and uses methodologies consistent with the latest American Society for Testing and Materials (ASTM) Standard E-1527 or some lesser documented environmental assessment provided Recipient and the Army agree that a more thorough level of due diligence is not necessary. Based on this assessment, Recipient and APG will determine whether additional field investigations of soil, sediment, surface water, and other environmental media are warranted.

4.4.3 A boundary survey of the property interest being acquired, as necessary, as determined by the Recipient with the concurrence of TCAM.

4.4.4 A title search of the property to determine any possible flaws in title require correction by the owner prior to acquiring the property interest. The title search should include a review of property ownership that is sufficient to allow the TCAM to determine that no Army or Department of Defense official who is personally and substantially involved in the ACUB program will benefit financially from the transaction.

4.5 Once due diligence is completed and Recipient is satisfied: (i) that the acquisition can occur within a reasonable range of the appraised Fair Market Value, (ii) that no environmental hazards requiring remediation have been discovered by an environmental assessment on the site, and (iii) that from the title due diligence there are no encroachments or other issues that must be cleared in order to obtain title insurance, Recipient and APG will informally confer to develop a negotiation strategy and establish the cost for purchase of the subject property interest and determine the relative share, if any, of direct and indirect acquisition costs and/or post-acquisition management and stewardship costs. Recipient will then submit a formal written Request to Proceed with the acquisition of the property to the APG TCAM, detailing the terms for the acquisition of the property and agreed to relative share, if any, of direct and indirect acquisition costs and/or post-acquisition management and stewardship costs. Any problems identified through the due diligence process should be remedied before closing or be deemed acceptable by Recipient and APG, otherwise the transaction will be terminated.

4.6 If APG agrees with the terms of the purchase and sale agreement and sufficient funds are obligated to the CA for the military’s portion of the transaction, it will authorize Recipient, through a formal Notice to Proceed, to finalize a purchase and sale agreement in accordance with the terms agreed upon with APG. Recipient is then authorized to indicate the Army’s contribution of available funding, up to the agreed-upon share of acquisition costs, in order to demonstrate good faith. Recipient shall include in any purchase and sale contract a condition that closing remains subject to the property being in suitable condition for transfer and the title being clear of any defects.

4.7 Once Recipient and the landowner agree on a price at or below the Fair Market Value of the real property interest to be acquired, Recipient shall: a) invoice the Army for reimbursement of the agreed-upon Army share after real property transaction is closed; or, b) invoice the Army in advance of closing on the acquisition of any real property transaction for the Army share and, when funds are received, promptly finalize the transaction. (See Article 8 of the CA for details regarding advance payments). In either case, this invoice shall indicate all costs incurred by Recipient in execution of the transaction and any matching funds or in-kind services provided by Recipient in accordance with the allowable and authorized cost table in Section 8.0 of this Statement of Work. Any additional costs related to the administration of the ACUB project invoiced or claimed as partner share must also be consistent with the allowable and authorized cost table in Section 8.0 of this Statement of Work.

4.8 Any parcel either encumbered through an easement, other permanent real property restriction, or purchased in fee simple pursuant to this CA shall be monitored and enforced by or on behalf of Recipient, or another Eligible Entity approved in writing by the Army, for the purposes set forth in this CA, and implemented according to the terms of the real property documents. The specific monitoring and enforcement obligations of the holder of the conservation easement or other restrictive document shall be set forth in such instrument, and shall be assumed by Recipient or the other Eligible Entity accepting the real property interest. The acceptance at closing by Recipient or other Eligible Entity of such instrument, and the recording of such instrument shall, without more, be deemed to constitute an assumption of such obligations.

4.8.1 APG and the Army will not be responsible for monitoring of any property, or interest therein, acquired under this CA for compliance with purposes for which it was acquired or easement terms and conditions. Monitoring by or on behalf of Recipient shall be done regularly, at least annually, in a manner appropriate to the size and restrictions of each property, and documentation (including reports, updated photographs, and maps) shall be kept of each monitoring activity.

4.8.2 Monitoring, at a minimum, shall include: annual site monitoring visits where the condition of the property is compared to baseline (including photographs) and the property is monitored for compliance with any deed restrictions; site visit reports (including photographs) that are maintained in a central repository; regular contact with landowners; and education of new landowners on terms and conditions of easements.

4.8.3 Funds invoiced for monitoring or claimed as partner share for monitoring or enforcement shall be used for said purpose.

4.9 In the event a parcel is to be purchased for the express purpose of protecting habitat (e.g. for threatened and endangered species) in order to prevent or relieve a regulatory restriction on-post, steps 4.2 through 4.8 above shall be followed, but with the Notice to Proceed approval level at Headquarters, Installation Management Command-G4 (HQ IMCOM-G4). If applicable, this will also include additional HQ IMCOM-G4 approval of a Notice to Proceed for land management activities in a management plan. Recipient will send a Request to Proceed to the TCAM, who will then coordinate with the US Army Environmental Command (USAEC) Cooperative Agreement Manager (CAM) on seeking HQ IMCOM-G4 approvals.

4.10 Recipient will conduct any and all negotiations with owners of all parcels proposed for acquisition or encumbrance. Recipient shall involve TCAM in development of any easement, deed provision, or other property transfer document and obtain TCAM concurrence before closing any transaction.

4.11 Prior to making an offer to the landowner, Recipient shall provide the landowner/seller with the appropriate notifications in accordance with the Uniform Relocation Assistance and Real Property Acquisition Policies Act of 1970 to the extent applicable. Recipient shall notify the owner in writing that it will not acquire the property if negotiations fail to result in an amicable agreement. Recipient shall also inform the owner in writing of what it believes to be the market value of the property.

4.12 Upon closing, Recipient shall record all deeds of transfer, including conservation easement, and all other agreed-upon notices in the local land records in accordance with the requirements of the law of the state in which the land is located.

4.13 Recipient agrees to provide to APG all data, reports, investigations, or determinations relevant to the ownership and condition of the property. This documentation shall be free of any disclosure restriction unless required by the real property owner to be held in confidence. The confidential nature of any information shall not prevent its delivery to APG for use within the U.S. Government. Such confidential information shall be deemed to be subject to the Trade Secrets Act, 18 USC 1905, which makes its improper release by a Government employee a criminal offense. Confidential information will be free of any restriction if the owner sells a fee simple interest pursuant to the terms of this CA.

5.0 DELIVERABLES

5.1 Annual reports of the progress made toward project tasks in section 4.0 shall be submitted to the USAEC in coordination with APG by USAEC’s established due date (generally 31 October) after the close of each federal fiscal year. The report shall provide information on how funds have been expended during the reporting period and include information that APG and USAEC need to properly promote and manage the project. Such information shall include a map with the parcels acquired or proposed for acquisition under this CA, corresponding geospatial data, and a table that lists: the acquisition name; nature of realty interest acquired, ACUB priority area, acreage, costs, source of funds, land uses (current or intended), and a list of any agreements or management plans for the parcel. Any differences between advanced invoice requests and actual expenditures must be addressed within the report. Any ACUB land sales or transfers and any program income must also be addressed in the report. Geospatial data attributes must include, at a minimum: parcel name, parcel owner, interest acquired, easement holder (as applicable), date closed (or target date), parcel acres, acres under conservation, and ACUB priority area.

5.2 Due diligence and recorded transactional documents developed to carry out the tasks performed under this CA shall be provided to both USAEC and APG as they are available or at least annually with the annual report mentioned in section 5.1. Such documents include, but are not limited to, inspections or investigations, appraisals, title searches or insurance, and deeds.

5.3 Baseline documentation reports on all properties protected through this CA shall be provided to both USAEC and APG and should conform to standards as established by the Land Trust Alliance (LTA).

5.4 Annual monitoring reports on all properties protected through this agreement shall be provided to both USAEC and APG as they are available or at least annually with the annual report mentioned in section 5.1. Said monitoring reports should conform to standards as established by the LTA and described in section 4.0. This requirement shall survive termination of this CA.

5.4.1 While long term monitoring and reporting efforts may be transferred from the original Recipient to another eligible entity IAW 6.4 below, as the entity with whom this agreement is made, the original Recipient remains responsible for ensuring that monitoring actions are occurring in a manner sufficient to ensure that the property is not used or developed for purposes inconsistent with the purposes of the CA, and that the entity conducting monitoring efforts is providing annual monitoring reports to both USAEC and APG IAW 5.4. This requirement shall survive termination of this CA.

5.5 Annual documentation of funds acquired from sources other than the Army or Department of Defense pursuant to the CA and the expenditure of these funds shall be submitted with the annual report.

5.6 Annual SF425 shall be submitted per the terms and conditions of the CA.

6.0 SPECIAL CONDITIONS

6.1 The Federal awarding agency, Inspectors General, the Comptroller General of the United States, and the pass-through entity, or any of their authorized representatives, shall have the right of access to any documents, papers, or other records of the non-Federal entity which are pertinent to the Federal award, in order to make audits, examinations, excerpts, and transcripts. The right also includes timely and reasonable access to the non-Federal entity's personnel for the purpose of interview and discussion related to such documents.

6.2 Recipient shall not enter non-federal real property to collect information regarding the property unless the owner has: (a) Consented to the entry; (b) Been provided reasonable notice of the entry; and (c) Been notified that any raw data collected from the property must be made available at no cost, if requested by the landowner.

6.3 Title to the real property interest acquired, whether fee simple, easement, or other land use restriction, shall be held by Recipient, or other eligible entity, subject to the Army’s right to demand transfer under 10 U.S.C. § 2684a(d)(5) of that portion of the real estate property interest necessary to ensure the property is developed and used consistently with the purposes of this CA and 10 U.S.C. § 2684a. Recipient shall place a notice on record in the Register of Deeds office for the county where the property interest is located to inform any party examining title to the property of the Army’s contingent right to demand transfer of the property or property interest. It shall be sufficient for such notice to be contained in the granting instrument by which Recipient or other eligible entity acquired the interest, and in such case no separate notice instrument shall be required.

6.4 No provision of this CA shall preclude Recipient, after consultation with and concurrence by the Army, from transferring the acquired real property interest to other eligible entities described in 10 U.S.C. § 2684a(b) (such as, state agencies, political subdivisions, and private conservation organizations) for purposes of this CA. IAW 2 CFR 200.311(b)[footnoteRef:1], as the Federal awarding agency, the Army may waive the requirement that the “real property will be used for the originally authorized purpose as long as needed for that purpose” while the property itself is still in “use”. If Recipient or other eligible entity acquires fee interest or an easement in a parcel and proposes to transfer that interest, it shall request instructions (in the form of a written Notice to Proceed) from the TCAM, who will coordinate the action with the Grants Officer (representing the “Federal awarding agency” under 2 CFR 200.311), the CAM, and Headquarters, Department of the Army (HQDA). The Army will have the following options: [1: 2 CFR 200.311(b) Use. Except as otherwise provided by Federal statutes or by the Federal awarding agency, real property will be used for the originally authorized purpose as long as needed for that purpose, during which time the non-Federal entity must not dispose of or encumber its title or other interests.]

6.4.1 Approve of the transfer subject to Recipient’s commitment to transfer the interest subject to the Army’s rights under 10 U.S.C. § 2684a(d)(5);

6.4.2 Exercise its rights under 10 U.S.C. § 2684a(d)(5) and direct Recipient to convey to the Army an interest in real property sufficient to ensure that the property is not used or developed for purposes inconsistent with the purposes of the CA;

6.4.3 Direct Recipient or other eligible entity to transfer to another eligible entity, as determined by the Army, an interest in real property sufficient to ensure that the property is not used or developed for purposes inconsistent with the CA.

6.5 When real property is no longer needed by the U.S. Government for the originally authorized purpose or other “use” (see 6.4 above), the non-Federal entity must obtain disposition instructions from the Federal awarding agency. The instructions must provide for one of the following alternatives:

6.5.1 Retain title after compensating the Federal awarding agency. The amount paid to the Federal awarding agency will be computed by applying the Federal awarding agency's percentage of participation in the cost of the original purchase (and costs of any improvements) to the fair market value of the property. However, in those situations where the non-Federal entity is disposing of real property acquired or improved with a Federal award and acquiring replacement real property under the same Federal award, the net proceeds from the disposition may be used as an offset to the cost of the replacement property.

6.5.2 Sell the property and compensate the Federal awarding agency. The amount due to the Federal awarding agency will be calculated by applying the Federal awarding agency's percentage of participation in the cost of the original purchase (and cost of any improvements) to the proceeds of the sale after deduction of any actual and reasonable selling and fixing-up expenses. If the Federal award has not been closed out, the net proceeds from sale may be offset against the original cost of the property. When the non-Federal entity is directed to sell property, sales procedures must be followed that provide for competition to the extent practicable and result in the highest possible return.

6.5.3 Transfer title to the Federal awarding agency or to a third party designated/approved by the Federal awarding agency. The non-Federal entity is entitled to be paid an amount calculated by applying the non-Federal entity's percentage of participation in the purchase of the real property (and cost of any improvements) to the current fair market value of the property.

6.6 In the event the Secretary of the Army requires that real property interests be transferred to the Government, Recipient will do so and will be reimbursed for only costs incidental to the transfer (recording fees, certified copies, etc.).

6.7 Indirect rate: TDB after award%

6.8 Partner share minimum percentage: 25%

Section 7.0 ACUB MAP

Figure 1: Approved Priority Areas

Section 8.0 ALLOWABLE AND AUTHORIZED COSTS

IMAE-EC 08 JULY 2019

Army Compatible Use Buffer Allowable and Authorized Costs Guide v2

1. This Allowable and Authorized Costs guide (AACG) provides the regulatory framework and program-level approval authorities for costs associated with Army Compatible Use Buffer (ACUB) cooperative agreements (CAs). To ensure that applicants to a new CA understand the existing funding parameters, the AACG will be included in the Notice of Potential Funding Opportunity (NOPFO) package. The AACG will also be retained in the resulting CA for ease of reference and to maintain proper governance of funds throughout the life of the agreement. This guide may also be incorporated into previously awarded CAs when their period of performance is extended, or as needed, pending the approval of all signatories of those agreements. This document standardizes allowable and authorized costs for the ACUB program, with the intent of providing the maximum benefit to the Army while ensuring proper stewardship of taxpayer dollars. Though a cost may be listed as allowable and authorized herein, reimbursement or advance is not necessarily guaranteed, but rather dependent upon the amount and type of funding available, the necessity of the cost to the ACUB project, and overall benefit to the Army. Partners should follow the Request to Proceed (RTP) and Notice to Proceed (NTP) protocol outlined in the Headquarters Installation Management Command (IMCOM) Business Process Guide (BPG) before incurring any conditional costs, as detailed below in Table 2. The partner is expected to contribute to costs of the ACUB project, at least to the minimum specified by the cooperative agreement, but to the maximum amount possible.

2. The Office of the Secretary of Defense (OSD) places restrictions on the use of Readiness and Environmental Protection Integration (REPI) funding, which comprises the majority of ACUB funds. Specific restrictions should be verified based on current annual REPI guidance. If any cost is unauthorized to be paid for with REPI funds (Table 1), but is listed as allowable and authorized in this guide (Table 2), it may be eligible to be paid for by Service Funds, which, for the purposes of ACUB includes Operations and Maintenance (O&M) funds or Research, Development, Testing, and Evaluation (RDT&E) funds in the case where an installation is primarily funded with RDT&E funds. Note that Service Funds are not guaranteed to be obligated to any given CA and must be requested at the installation level ($150,000 or less) or from Headquarters Installation Management Command (HQ IMCOM) G4 (more than $150,000). If Service Funds are not available, costs not eligible for REPI funding must be borne by the Partner, whether in the form of cash, in-kind services, or through program income. Some of the administrative and planning costs that are REPI funding ineligible may be counted as Partner match in the form of in-kind services (IAW Table 2). The current year REPI guidance will take precedence over the contents of this AACG and must be consulted regularly to ensure continued compliance. Based on the FY20 REPI guidance, REPI funding eligibility is listed below. Note: HQ IMCOM policy restricts the use of any military funds for natural resource management and management accounts as described in Table 2 footnotes.

Table 1: REPI Funding Eligibility

Due diligence (e.g., appraisals, surveys, title searches, insurance, and reviews of mineral and water rights) and easement monitoring and enforcement activities performed by partners Due diligence and easement monitoring and enforcement activities performed by DoD personnel

Natural resources management, restoration, enforcement, or maintenance (e.g., invasive species control, exclusive devices such as signs and fences, species monitoring, species translocation or reintroduction, necessary reports, future updates to adaptive management plans) Administrative and planning costs (e.g., administrative overhead, mapping, landowner contacts and outreach, preliminary natural resources management planning in support of the transaction)

Education/interpretation

Management accounts to pay for future costs of natural resources management as a lump sum and with the ability to earn interest Research

NEPA, ESA, or other compliance activities

Public use facilities

Establishment of a pre-compliance mitigation or conservation bank, or pre-compliance acquisition of credits from an existing bank Establishment of a mitigation or conservation bank to comply with regulatory requirements

Land encompassing airfield CZs

Land to comply with any non-discretionary conservation measures or terms and conditions of an ESA BO, per 7(a)(2) of the ESA (16 U.S.C. § 1536(a)(2))

Land to be acquired for the primary purpose of training or testing

3. In collaboration with HQ IMCOM G4, US Army Environmental Command (USAEC) developed a table of direct costs associated with the ACUB program (Table 2), which includes several elements as follows:

a) Column 1 identifies possible direct costs associated with the ACUB program, by category;

b) Column 2 indicates whether those costs are allowable under current regulations;

c) Column 3 indicates whether those costs are authorized to be paid using REPI/Service Funds per HQ IMCOM policy;

d) Column 4 indicates if the costs can be counted as partner match;

e) Column 5 includes a legal citation for the appropriate regulation in which the specific cost is referenced.

4. Costs in Table 2 identified as “Conditional” in column 3 may be authorized if certain conditions are met as indicated in the footnotes. For example, habitat management costs are only allowed for projects that result in direct regulatory credit or relief for the US Army, and would require approval of these costs by HQ IMCOM. In another example, geological surveys may be allowed in cases where mineral rights have been severed from the property deed; allowability of this cost would be negotiated on a per-parcel basis. Costs identified as “Conditional” may necessitate differing levels of approval authority depending on their nature, which may be granted at the installation level by the Technical Cooperative Agreement Manager (TCAM), at the USAEC level by the Cooperative Agreement Manager (CAM), or at the headquarters level by IMCOM G4. Any cost not identified in this guide should be considered unallowable and unauthorized. Invoicing for allowable and authorized costs must be accomplished per conditions of the CA and following the current ACUB Business Process Guide.

5. Citations in Column 5 provide reference to specific costs, as detailed in Column 1. General governing regulations, in addition to these citations, include the following:

a) 32 CFR §32 and 32 CFR §33 - The DoD Grant and Agreement Regulations (DoDGARs) governing award and administrative requirements for non-profit organizations and States respectively. These CFRs were written to work in conjunction with Office of Management and Budget (OMB) Circulars intended to provide additional guidance. The majority of 32 CFR §32 and 32 CFR §33 have been superseded by 2 CFR §200 (as summarized in 2 CFR §1103.100). This is intended as interim guidance until full content of the DoDGARs are fully incorporated into their respective subchapter of 2 CFR §200, and as such, may change. Other provisions of Chapter I, Subchapter C of Title 32, CFR are still applicable to overall governance of DoD grants.

b) 2 CFR §200 - Uniform Administrative Requirements, Cost Principals, and Audit Requirements for Federal Awards. Although an OMB regulation, it subsumes the stipulations of 32 CFR §32 and 32 CFR §33 (IAW 2 CFR §1103.100) and acts as the primary regulatory framework for this AACG.

c) 2 CFR §200.405 - Allocable Costs. Provides general parameters for how allocable costs are defined.

d) 2 CFR §200.408 - Limitation of allowance on costs. Provides authority for limitation of allowable costs under a Federal award.

e) 2 CFR §200.412 - Classification of costs. Stresses the need to charge direct costs and indirect costs in a consistent manner to prevent double-charging Federal awards.

f) 2 CFR §200.413 - Direct costs. Defines direct costs as those that can be identified directly assigned to specific activities. Also provides examples of indirect costs.

g) 2 CFR §200.414 - Indirect costs. Defines indirect costs (See 6(a) below for details) and discusses establishment of negotiated indirect costs rates.

h) 2 CFR §200.420 - 2 CFR §200.475 - General provisions for selected items of cost. Largely comprises the citations in Column 5.

6. Select Items of Cost:

a) Indirect Costs and Rates (see 2 CFR §200.414 Indirect (F&A) costs): Indirect costs are those incurred for a common or joint purpose benefitting more than one cost objective, and not readily assignable to the cost objectives specifically benefitted, without effort disproportionate to the results achieved. Indirect rates for each CA must be established with the Grants Officer. For organizations with an indirect rate established with a cognizant Federal agency other than the US Army, that rate must be agreed to by the US Army. Alternatively, an indirect rate may be established in accordance with 2 CFR §200.414(f) which states:

“In addition to the procedures outlined in the appendices in paragraph (e) of this section, any non-Federal entity that has never received a negotiated indirect cost rate, except for those non-Federal entities described in Appendix VII to Part 200—States and Local Government and Indian Tribe Indirect Cost Proposals, paragraph D.1.b, may elect to charge a de minimis rate of 10% of modified total direct costs (MTDC) which may be used indefinitely. As described in §200.403 Factors affecting allowability of costs, costs must be consistently charged as either indirect or direct costs, but may not be double charged or inconsistently charged as both. If chosen, this methodology once elected must be used consistently for all Federal awards until such time as a non-Federal entity chooses to negotiate for a rate, which the non-Federal entity may apply to do at any time.”

Regardless of method used for establishing the indirect rate, the CA must identify the indirect rate. IAW 2 CFR §200.414, indirect costs are classified within two broad categories; “Facilities” and “Administrative”. Indirect costs within the “Facilities” category may include depreciation on buildings, equipment and capital improvement, utilities, and operations and maintenance expenses. Indirect costs within the “Administrative” category may include general administration and general expenses such as the director's office, accounting, personnel and all other types of expenditures not listed specifically under one of the subcategories of “Facilities”. A cost may not be allocated to a Federal award as an indirect cost if any other cost incurred for the same purpose, in like circumstances, has been assigned to a Federal award as a direct cost.

b) Habitat Management Costs: Habitat management costs will only be authorized with prior approval from HQ IMCOM. Approval will require documented assurance of regulatory relief from the appropriate regulatory agency (e.g., USFWS, US Army Corps of Engineers, etc.) prior to incurring those costs. This may include direct credits for federally listed species, wetlands, or other natural resource, or future consideration in the form of a Memorandum of Understanding or similar document. If approved, natural resource management will be funded through an endowment, which will require additional approval from the Office of Assistant Chief of Staff for Installation Management (OACSIM).

c) Monitoring and Enforcement Costs: Monitoring real property interests in perpetuity for compliance with deed restrictions is the responsibility of the partner. Military funding for monitoring may not exceed 5% of the property interest fair market value (FMV) or $20,000, whichever is less. Costs over this limit will require approval from the installation and HQ IMCOM. Military funding for enforcement of the terms and conditions of an easement is limited to $5,000. Monitoring and enforcement costs are authorized only as a one-time upfront cost to eliminate long-term recurring costs associated with ACUB properties.

d) Travel Costs: Before incurring costs for travel that requires overnight stays or airline or rail travel, partners must first submit a travel request to the installation TCAM and receive written pre-approval. The TCAM will review estimated travel costs to ensure they don’t exceed current GSA per diem rates. Actual travel expenses may not exceed 10% higher than the pre-approved estimated cost.

Table 2: ACUB Direct Costs

Per Reg.

(A/U)

3. Authorized Cost (Y/N/C[footnoteRef:2]) [2: “C” – Conditional. ]

1. Pre-Acquisition Costs

1. Appraisal[footnoteRef:4] [4: Appraisal may be waived “…in cases involving the acquisition by sale or donation of property with a low fair market value.” 42 USC §4651(2)]

1. Acquisition Costs

10 USC §2684a(d)(1)

10 USC §2684a(d)(1)

10 USC §2684a(d)(1)

10 USC §2684a(d)(1)

1. Closing Costs/Recordation

1. Monitoring and Enforcement

Y[footnoteRef:9] [9: Partner match for monitoring costs are also limited to 5% of the property interest fair market value or $20,000, whichever is less.]

2 CFR §200.430

10 USC §2684a(d)(3)

10 USC §2684a(d)(3)

1. Habitat Management

10 USC §2684a(d)(3)

1. Habitat Management [footnoteRef:13] [13: Habitat Management actions must be directly related to the ACUB cooperative agreement, in an HQ IMCOM G4 approved management plan, and result in a direct regulatory benefit to the US Army. Specific activities must be identified on the invoice in order to be paid by the Army/DoD. Authorized actions include: prescribed burn, invasive species control/removal, pest control, erosion control, wetland delineation, stream determination, species or habitat survey, soil survey, planting / thinning, habitat enhancement (provided specific enhancement is identified), animal or plant propagation/translocation/ reintroduction, soil sampling, and groundwater sampling. Signage, fences, or other controls if these are required in the applicable management plan. Costs must be approved prior to incurring expense. ]

10 USC §2684a(d)(3)

2 CFR §200.439(a)(2) 2 CFR §200.436 (Depreciation)

10 USC §2684a(d)(3)(B)

1. Miscellaneous

1. Travel for daily ACUB actions – Includes rental vehicle, parking, POV mileage, and tolls. [footnoteRef:23] [23: Travel must be associated with specific pre-acquisition and acquisition ACUB actions (landowner meetings, conducting due diligence, TCAM meetings, etc.) and not routine administrative or general management tasks for the organization. Prior approval from installation TCAM is not required for daily travel. However, if during the course of daily travel, conversion to “travel status” (overnight stay) is necessitated, the partner must notify the TCAM on the following business day and determine if further authorization is required.]

The administrative and planning costs below this line are not currently REPI-eligible. However, they may be authorized if Service Funding has been obligated to the cooperative agreement. For all “Labor” costs below, reporting and administrative labor expended by a shared resource, like administrative personnel, must be accounted for in the indirect rate. Only direct cost labor can be counted as Partner match.

1. Personnel, Facility, and Administrative Costs

2 CFR §200.430

2 CFR §200.459

2 CFR §200.460

1. Conference[footnoteRef:31] (directly related to work under the ACUB agreement) [31: “A conference is defined as a meeting, retreat, seminar, symposium, workshop or event whose primary purpose is dissemination of technical information beyond the non-Federal entity and is necessary and reasonable for successful performance under the Federal award.” (2 CFR §200.432)]

2 CFR §200.439