What flexibility do I have in rebudgeting under my award? Between object class categories? Between ONC-designated categories, such as core funding and direct assistance?

The answer to this question depends on both the general and specific terms and conditions of your award. First, determine if the Notice of Grant Award specifies any particular limitations on rebudgeting. These may be award-specific or program-specific. For example, under the Regional Extension Centers program, core funds were restricted to $500,000 per year for all recipients unless ONC prior approval was obtained.

Next, determine whether the HHS grants administration regulations/HHS Grants Policy Statement, which are terms of ONC awards, specify any limitations on transferring funds to or from specific object class categories. For example, under 45 CFR Part 74.25(c)(6) or 92.30(c)(1)(iii), as applicable, you may not transfer funds budgeted for trainee costs to other categories without ONC prior approval.

Finally, if any rebudgeting—regardless of amount or budget category—would result in a change in scope, you must obtain ONC prior approval. ONC considers purchase of an item of equipment with an acquisition cost of greater than $25,000 and “significant rebudgeting” as indicators of a change in scope. Significant rebudgeting occurs when, under an ONC grant or cooperative agreement with a Federal share exceeding $100,000, cumulative transfers among direct cost budget categories during a budget period exceed 25 percent of the total approved budget (which includes direct and indirect costs, whether chargeable to Federal funds or required matching or cost sharing) for that budget period or $250,000, whichever is less.

Content last reviewed on November 14, 2013
Was this page helpful?