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Attachment A <br />FY05 HOMELAND SECURITY GRANT PROGRAM <br />programs and activities. Reasonable costs associated with providing meaningful <br />access for LEP individuals are considered allowable program costs. For additional <br />information, please see http: / /www.lep.gov. <br />Guidance C. Allowable Costs <br />HSGP allowable costs are divided into planning, organization, equipment, training, and <br />exercises categories. In addition, M &A costs are allowable and certain operational <br />costs under UASI and LETPP are also allowable. Specific focus for each program'sK <br />allowable costs is included in the program's respective section of this solicitation. i <br />Examples of allowable costs and activities can be found in Appendix A: Authorized; z <br />Program Expenditures. The following provides general HSGP allowable costs ;. <br />guidance: <br />All programs within HSGP have allowable M&A costs for both the state -level as well as <br />the local unit of government, urban area, or designated subgrantee. <br />SHSP, UASI, LETPP, CCP, MRS: No more than 3% of the total amount <br />allocated to the state for each program within HSGP may be retained at the state <br />level and used for M &A purposes. These state M &A funds must be included in <br />the total funds retained by the state. In addition, local jurisdiction subgrantees <br />may retain and use up to 2.5% of their subaward from the state for local M&A <br />purposes. Note: M&A costs are not allowed for either the state or designated <br />recipients for UASI allocations to nonprofit organizations. <br />• EMPG: The state EMA may use up to 3% of the state's EMPG allocation for <br />M &A purposes. If the SAA is not the EMA, the SAA is not eligible to retain funds <br />for M &A. In addition, local jurisdiction subgrantees may retain and use up to <br />2.5% of their subaward from the state for local M&A purposes. <br />Operational Costs Guidance <br />Under UASI and LETPP, funds may be used to support select operational activities. <br />LETPP: State and local jurisdictions may use up to 25% of FY05 LETPP funds <br />to support operational overtime costs incurred at Code Orange alert that are <br />associated with increased security measures at critical infrastructure sites.10 <br />• UASI: States and local jurisdictions may use up to 25% of FY05 UASI funds to <br />support operational overtime costs associated with increased security measures <br />at critical infrastructure sites in UASI jurisdictions. <br />10 There are additional operational activities allowed under LETPP that are subject to and part of the same 25% cap. <br />See LETPP Operational Activities on page 75 for additional information. <br />DEPARTMENT OF HOMELAND SECURITY I OFFICE FOR DOMESTIC PREPAREDNESS <br />25 <br />