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<br /> <br /> PSGP Appendix | February 2021 Page G-14 <br /> <br /> <br /> <br /> <br />Management and Administration (M&A) <br />M&A costs are allowed under this program. M&A costs are activities directly related to managing and <br />administering the award. Recipients may use up to 5% of the amount of the award for their M&A. PSGP <br />funds may be used for the following M&A costs: <br /> <br />• Hiring full-time or part-time staff, including contractors and consultants, to execute the following: <br />o Management of the awarded fiscal year’s PSGP award; <br />o Design and implementation of the awarded fiscal year’s PSGP submission meeting <br />compliance with reporting/data collection requirements, including data calls; <br />o Information collection and processing necessary to respond to FEMA data calls; <br />o Travel expenses related to PSGP grant administration; and <br />o Acquisition of authorized office equipment, including personal computers or laptops for <br />PSGP M&A purposes. <br /> <br />Allowable Indirect Costs <br />Indirect costs are allowable under this program as described in 2 C.F.R. Part 200, including 2 C.F.R. § <br />200.414. Applicants with a current negotiated indirect cost rate agreement that desire to charge indirect <br />costs to an award must provide a copy of their negotiated indirect cost rate agreement at the time of <br />application. Not all applicants are required to have a current negotiated indirect cost rate agreement. <br />Applicants that are not required by 2 C.F.R. Part 200 to have a negotiated indirect cost rate agreement but <br />are required by 2 C.F.R. Part 200 to develop an indirect cost rate proposal must provide a copy of their <br />proposal at the time of application. Applicants who do not have a current negotiated indirect cost rate <br />agreement (including a provisional rate) and wish to charge the de minimis rate must reach out to the <br />Grants Management Specialist for further instructions. Applicants who wish to use a cost allocation plan <br />in lieu of an indirect cost rate must also reach out to the Grants Management Specialist for further <br />instructions. Post-award requests to charge indirect costs will be considered on a case-by-case basis and <br />based upon the submission of an agreement or proposal as discussed above or based upon the de minimis <br />rate or cost allocation plan, as applicable. <br /> <br />Unallowable Costs <br />Projects that do not provide a compelling maritime security benefit or have a direct nexus toward <br />maritime security risk mitigation are not permitted. For example, projects that are primarily for economic <br />or safety benefit (as opposed to having a direct maritime security risk mitigation benefit) are ineligible for <br />PSGP funding. In addition, projects that provide a broad homeland security benefit (e.g., a <br />communication system or fusion center for an entire city, county, state, etc.) as opposed to providing <br />primary benefit to the port are ineligible for PSGP funding since these projects should be eligible for <br />funding through other preparedness grant programs. The following projects and costs are considered <br />ineligible for award consideration: <br /> <br />• Grant funds must comply with IB 426 and may not be used for the purchase of the following <br />equipment: firearms, ammunition, grenade launchers, bayonets, or weaponized aircraft, vessels, <br />or vehicles of any kind with weapons installed; <br />• Projects in which federal agencies are the primary beneficiary or that enhance federal property, <br />including sub-components of a federal agency;