DESIGNING AN EFFECTIVE DESIGNING AN EFFECTIVE AMERICORPS*STATE BUDGETAMERICORPS*STATE BUDGET

INDIANA APPLICANTS (2012 – 2013)

AIMAIMThe primary purpose of this presentation is to highlight the budget development processes with a focus on the preparation of a Corporation for National and Community Service (CNCS) grant-specific budget for AmeriCorps*State applicants.

changes in market share, leadership, players, market shifts, costs, pricing, and competition

IMPORTANCEIMPORTANCEIt accounts for 25% of the overall

proposal score.

COST EFFECTIVENESS = 10% Cost per Member Service Year (MSY)

Community support Sustainability

BUDGET ADEQUACY = 15%Sufficient support for both program design and

program activities Linked to desired outputs and outcomes

INSIGHTINSIGHT Reviewers are able to determine…

The methodology for arriving at the amounts requested

The accuracy of the calculations The alignment between the budget and the

program design Potential audit findings and/or problems

prior to the grant award If the request is REASONABLE and the

proposed costs are ALLOWABLE

KEY QUESTIONSKEY QUESTIONS Does my organization have the capacity to

manage a federal grant? Does my organization have the required

matching funds (in-kind and cash)? If no, then do sufficient resources exist in the community to support this grant?

Is my organization comprised of staff who possess the expertise to manage the fiscal aspects of an AmeriCorps*State grant?

BASICSBASICS It is imperative that the programmatic design

staff work closely with the organization’s finance team. Establish joint timelines. Communicate often.

Proposed costs must be ALLOWABLE as determined in guidelines published by the Office of Management and Budget (OMB) – commonly referred to a circulars.• Educational Institutions – A-21• Nonprofit Organizations – A-122• State and Local Governments – A-87

Budgeted expenditures must be REASONABLE and NECESSARY.

A budget reflects an organization’s financial management practices.

An effective budget is:• REALISTIC• CONSISTENT• FLEXIBLEBe familiar with the rules and regulations

undergirding the program – not just the application instructions!

DOS and DON’TSDOS and DON’TS All the amounts you request must be defined for a

particular purpose. Do not include miscellaneous, contingency, or other undefined budget amounts.

Your detailed budget narrative must provide a full explanation of the proposed costs including their purpose.

Present the basis for all calculations in the form of an equation.

Do not include unallowable expenses, e.g., entertainment costs (which include food and beverage costs) unless they are justified as an essential component of an activity.

Do not include fractional amounts (cents).

,.

SAMPLE BUDGET

SECTION IOPERATING

A. PERSONNEL EXPENSESA. PERSONNEL EXPENSES

This grant is to enable and stimulate volunteer community service, do not include the value of direct community service performed by volunteers. However, you may include the value of volunteer services contributed to the organization for organizational functions such as accounting, audit work, or training of staff and AmeriCorps members.

Position/Title/Description QtyAnnual Salary

% Time Total Amount CNCS Share Cash In-Kind

Executive Director 1 $80,000 10% $8,000 $0 $8,000 $0

Program Director 1 $40,000 40% $16,000 $0 $16,000 $0

Program Coordinator 1 $28,000 75% $21,000 $0 $21,000 $0

Site Supervisors 12 $35,000 40% $168,000 $0 $0 $168,000

TOTALS $213,000 $0 $45,000 $168,000

B. PERSONNEL FRINGEB. PERSONNEL FRINGE

Allowable fringe benefits typically include FICA, Worker’s Compensation, Retirement, SUTA, Health and Life Insurance, IRA, and 401K.

Please list all fringe benefits and percentages or amounts received by the individual employee or employees. (OFBCI REQUIREMENT)

Holidays, leave, and other similar vacation benefits are not included in the fringe benefit rates but are absorbed into the personnel expenses (salary) budget line item.

Purpose/Description Calculation Total Amount CNCS Share Cash In-Kind

Executive Director

1 person @ $80,000/annual x 34.91% (incudes health, dental, vision, life, disability and pension benefits) + 7.65% (employer-paid

FICA) x 10% usage

$3,405 $0 $3,405 $0

Prgram Director

1 person @ $40,000/annual x 34.91% (incudes health, dental, vision, life, disability and pension benefits) + 7.65% (employer-paid

FICA) x 40% usage

$6,810 $0 $6,810 $0

Program Coordinator

1 person @ $28,000/annual x 34.91% (incudes health, dental, vision, life, disability and pension benefits) + 7.65% (employer-paid

FICA) x 75% usage

$8,938 $0 $8,938 $0

Site Supervisors

12 persons @ $35,000/annual/ea. x 20% (incudes health, dental, vision,

life, disability and pension benefits) + 7.65% (employer-paid FICA) x 40%

usage/each

$46,452 $0 $0 $46,452

TOTALS $65,605 $0 $19,153 $46,452

C1/C2. C1/C2. STAFF/MEMBERTRAVELSTAFF/MEMBERTRAVEL

The OFBCI will only reimburse the federal share based on the following state rates: Mileage: $.44 per mile

Per Diem: $13 per day for one-day in-state trip; $26 per day for in-state overnight trips; $32 per day for out-of-state travel

Lodging: $89 plus applicable taxes for in-state; $97 plus applicable taxes for Indianapolis

Parking: $9 per day maximum

Your organization’s travel policies dictate actual reimbursements to staff and Members. Any amount over those amounts noted above may be used as match.

We encourage applicants to include funds in this line item for travel for staff and site staff to attend Corporation-sponsored technical assistance meetings. There are two to three such opportunities per year, including opportunities for new grantee orientation, financial training, and the National Conference on Service and Volunteering. Also, please include travel for staff and Members to attend statewide trainings and events. For Members, this includes a one-day Opening Ceremonies held in Indianapolis. Programs are responsible for lodging, mileage, and per diem for program directors to attend monthly training workshops held in Indianapolis.

Purpose Calculation Total Amount CNCS Share Cash In-Kind

OFBCI Governor's Conference

2-day conference = registration @ $175/ea. x 14 persons (includes 2 staff) + mileage @ 12 site sups. x

250 miles roundtrip/ea. x $.40/mile + parking @ $15/day/ea. x 12 sups. + lodging @ $96/night x 2 nights/ea.

x 12 sups. + dinner @ 2 nights x $15/ea. x 12 sups.

$6,674 $6,674 $0 $0

AmeriCorps Opening Ceremonies

2-day conference = mileage @ 1 vehicle. x 150 miles roundtrip (2 staff

will carpool) x $.40/mile$60 $0 $60 $0

Travel to CNCS-Sponsored Meetings

May budget @ $2,000 $2,000 $2,000 $0 $0

Community Events and Meetings

6 events/meetings per region = 12 site sups. x 50miles roundtrip/ea. x

$.40/mile$1,440 $1,440 $0 $0

Host Site Monitoring Visits

2 visits per region (24 visits) = 1 staff @ 24 visits x 150 miles roundtrip/ea. x $.40/mile + per diem @ 13/day x

24 visits

$1,752 $0 $1,752 $0

TOTALS $11,926 $10,114 $1,812 $0

Purpose Calculation Total Amount CNCS Share Cash In-Kind

State Health Summit

2-day event = registration @ $150/ea. + lodging @ $96/night x 2

nights/ea. x 12 rooms + breakfast @ $8/ea. x 24 Members + lunch @

$12/ea. x 24 Members + dinner @ $15/ea. x 24 Members +

transportation @ 11 cars x 250 roundtrip miles/ea. x $.40/mile +

parking @ 11 cars x $15/ea.

$8,174 $0 $8,174 $0

TOTALS $8,174 $0 $8,174 $0

D. EQUIPMENTD. EQUIPMENT

Equipment is defined as tangible, non-expendable personal property having a useful life of more than one year AND an acquisition cost of $5,000 or more per unit (including accessories, attachments, and modifications).

Purchases of equipment are limited to 10% of the total Corporation funds requested.

Item/Purpose/Justification Qty Unit Cost Total Amount CNCS Share Cash In-Kind

N/A 0 $0 $0 $0 $0 $0

TOTALS $0 $0 $0 $0

E. SUPPLIESE. SUPPLIES

Include the amount of funds to purchase consumable supplies and materials, including member service gear and equipment that does not fit the definition above.

You must individually list any single item costing $1,000 or more.

Except for safety equipment, grantees may only charge the cost of member service gear to the federal share if it includes the AmeriCorps logo. All safety gear may be charged to the federal share, regardless of whether it includes the AmeriCorps logo. All other service gear must be purchased with non-federal funds.

Purpose Calculation Total Amount CNCS Share Cash In-Kind

Program SuppliesGeneral supplies = $100/month x 12

months$1,200 $0 $1,200 $0

Site SuppliesGeneral Supplies = $100/month/ea.

x 9 months x 12 sites$10,800 $0 $0 $10,800

Curriculum Guides10,000 guides = printing @

$.20/page x 25 pages$50,000 $0 $50,000 $0

Program Brochures2,500 tri-fold, color brochures =

printing @ $.50/copy x 2 pages/ea.$2,500 $0 $2,500 $0

Notebook Computer1 notebook computer = $1,750 +

$300 (software licenses)$2,050 $2,050 $0 $0

TOTALS $66,550 $2,050 $53,700 $10,800

F. CONTRACTUAL SERVICESF. CONTRACTUAL SERVICES

Include costs for consultants related to the project’s operations, except evaluation consultants, who will be listed in Section H.

Payments to individuals for consultant services under this grant may not exceed $617 per day (excluding costs for indirect expenses, travel, supplies, etc.).

Purpose Daily Rate Total Amount CNCS Share Cash In-Kind

N/A $0 $0 $0 $0 $0

TOTALS $0 $0 $0 $0

G1/G2. STAFF/MEMBER G1/G2. STAFF/MEMBER DEVELOPMENTDEVELOPMENT Include the costs associated with training staff on project

requirements and training to enhance the skills staff need for effective project implementation, i.e., project or financial management, team building, etc.

Include the costs associated with member training to support them in carrying out their service activities, for example, orientation, project-specific skills such as age-appropriate tutoring, CPR, or ecosystems and the environment.

If you include food, you must note it as “Training event to include food.”

Purpose CalculationDaily Rate

Total Amount CNCS Share Cash In-Kind

Site Supervisor Trainings (to include food) -

Indianapolis

2 one-day trainings = mileage @ 12 site sups. x 250 miles roundtrip/ea. x

$.40/mile + lunch @ $12/ea. x 14 persons

(includes 2 staff)

$0 $2,736 $2,736 $0 $0

Statewide Program Orientation (to include

food) - Indianapolis

2-day training = lodging @ $50/night/ea. x 1 night x 12

site sups. + lunch @ $12/ea. x 14 persons

(includes 2 staff) + breakfast @ 8/ea. x 14

persons + dinner @ $15/ea. x 14 persons

$0 $1,580 $1,580 $0 $0

TOTALS $4,316 $4,316 $0 $0

Purpose CalculationDaily Rate

Total Amount CNCS Share Cash In-Kind

Statewide Program Orientation (to include

food) - Indianapolis

2-day event = van rental @ 2 vans. x $200/day/ea. + lodging @ $50/night x 1 night/ea. x 15 rooms + 2 lunches @ $12/ea. x 24

persons (includes 2 staff) + 1 breakfast @ $8/ea. x 24

persons + 1 dinner @ $15/ea. x 24 persons + 4

trainers (Diversity, Citizenship, Data Collection, Health

Education) x $350/day/ea. x 3 days

$350 $6,478 $0 $2,278 $4,200

TOTALS $6,478 $0 $2,278 $4,200

H. EVALUATIONH. EVALUATION

Include costs for project evaluation activities, including additional staff time or subcontracts, use of evaluation consultants, purchase of instrumentation, and other costs specifically for this activity not budgeted in Personnel Expenses.

Purpose CalculationDaily Rate

Total Amount CNCS Share Cash In-Kind

Program Evaluation Plan1 evaluator = $250/day x

14 days$250 $3,500 $0 $3,500 $0

TOTALS $3,500 $0 $3,500 $0

I. OTHER OPERATINGI. OTHER OPERATING

Background checks of members and grant-funded staff who have recurring access to vulnerable populations, i.e., children, the elderly, disabled, etc.

Office space rental for projects operating without an approved indirect cost rate agreement that covers office space.

Utilities, telephone, Internet and similar expenses that are specifically used for AmeriCorps members and AmeriCorps project staff, and are not part of the organizations indirect cost/admin cost allocation pool.

Recognition costs for members. List each item and provide a justification in the budget narrative. Gifts and/or food in an entertainment/event setting are not allowable costs.

Purpose CalculationDaily Rate

Total Amount CNCS Share Cash In-Kind

General Printing - Program250 copies/month x

$.10/copy x 12 months$0 $300 $0 $300 $0

General Printing - Host Sites

250 copies/month x $.10/copy x 9 months x 12

sites$0 $2,700 $0 $0 $2,700

Office Space - Host SitesApproximately 450/sq.

footage per site x $14/square foot x 12 sites

$0 $75,600 $0 $0 $75,600

Internet Access Fees - Host Sites

$35 month x 9 months x 12 Members

$0 $3,780 $0 $0 $3,780

Local Telephone Fees - Host Sites

$25 month x 9 months x 12 Members

$0 $2,700 $0 $0 $2,700

Long Distance Fees - Host Sites

$25 month x 9 months x 12 Members

$0 $2,700 $0 $0 $2,700

Member Recognition Plaques

$15/ea. x 24 Members $0 $360 $0 $360 $0

Member Background Checks

$50 subscription fee - Access Indiana

$0 $50 $0 $50 $0

TOTALS $87,830 $0 $350 $87,480

SECTION IIMEMBERS

A. LIVING ALLOWANCEA. LIVING ALLOWANCE

MINIMUM AND MAXIMUM LIVING ALLOWANCE

TERM OF SERVICE MINIMUM NUMBER OF HOURSMINIMUM LIVING

ALLOWANCEMAXIMUM LIVING

ALLOWANCEMSY

FULL-TIME 1700 $12,100 $23,600 1.000

ONE-YEAR HALF-TIME 900 N/A $12,070 0.500

TWO-YEAR HALF-TIME 900 N/A $12,070 0.250

REDUCED HALF-TIME 675 N/A $9,050 0.381

QUARTER-TIME 450 N/A $6,035 0.2646

MINIMUM TIME 300 N/A $4,025 0.2117

There is no requirement to pay a living allowance to less than full-time Members.

ItemNo.

MembersAllowance

W/O Allowance

Total Amount CNCS Share Cash In-Kind

Full Time (1700 hrs) 12 12,100 0 $145,200 $145,200 $0 $0

1st Year of 2-Year Half Time (900 hrs)

4 5,000 0 $20,000 $0 $20,000 $0

2nd Year of 2-year Half Time (900 hrs)

0 0 0 $0 $0 $0 $0

Reduced Half Time (675 hrs) 0 0 0 $0 $0 $0 $0

Quarter Time (450 hrs) 0 0 0 $0 $0 $0 $0

Minimum Time (300 hrs) 8 1,000 0 $8,000 $0 $8,000 $0

TOTALS $173,200 $145,200 $28,000 $0

B. MEMBER SUPPORTB. MEMBER SUPPORT

FICA for Members. Unless exempted by the IRS, your organization must pay FICA for any member receiving a living allowance, even when the Corporation does not supply the living allowance.

Worker’s Compensation. Indiana requires that AmeriCorps*State Members be covered under the organization’s workers compensation plan.

Health Care. You must offer health care benefits to full-time members in accordance with AmeriCorps requirements.

Unemployment Insurance and Other Member Support Costs. AmeriCorps Members serving in Indiana are not entitled to unemployment benefits. Therefore, your organization is not required to pay unemployment insurance on Members.

Purpose Calculation Daily Rate Total Amount CNCS Share Cash In-Kind

FICA (Sub-Grantee Paid)

$173,200 living allowance x .0765%

$0 $13,250 $9,937 $3,312 $0

Health Insurance12 FT Members x

$104/month/ea. x 9 months$0 $11,232 $11,232 $0 $0

Workers' Compensation Insurance

24 Members x $.25/month/ea. x 9 months

$0 $54 $54 $0 $0

TOTALS $24,536 $21,223 $3,312 $0

SECTION IIIADMINISTRATIVE

Up to 5.26% may be claimed from CNCS Up to 10% of total may claimed as sub-grantee

match

SCENARIO FOR CNCS SHARESection I and II (Federal/CNCS) = $182,903

(182,903 x .0526)=

$9,621

SCENARIO FOR SUB-GRANTEE SHARESection I and II (Federal/CNCS and Sub-Grantee) = $665,114

(665,114 x .10)=

$66,511

A. CORPORATION FIXEDA. CORPORATION FIXED

B. INDIRECT COST METHODB. INDIRECT COST METHOD

Up to 5.26% may be claimed from CNCS Up to indirect cost rate of total minus 5.26% may

claimed as sub-grantee match

SCENARIO FOR CNCS SHARESection I and II (Federal/CNCS) = $182,903

(182,903 x .0526)=

$9,621

SCENARIO FOR SUB-GRANTEE SHARESection I and II (Federal/CNCS and Sub-Grantee) = $665,114

( 665,114x .35)=

$232,790 - $9,621 = $223,169

COST PER MSY

The cost per MSY is important and may not exceed $13,300

TOTAL FEDERAL (CNCS) SHARE / MSYs

$182,903 / 15.69=

$11,657

MATCH REQUIREMENTSMATCH REQUIREMENTS

STATUTORYMinimum matching amount the law requires a grantee to provide.

REGULATORYMinimum matching amount established by CNCS regulations that may be higher than the statutory requirements.

BUDGETEDAmount of match grantee provides based on budge, budget narrative and program narrative contained in grant application; may be greater than statutory or regulatory required match.

MATCH BASICSMATCH BASICS

Your organization must meet both the statutory and regulatory amounts

A budgeted match is voluntary. However,… It is tied to the number of Members proposed It is a “contracted” match and must be met at the time the grant

is closed out

Cash from… Donations Non-federal income State appropriations (grants) Fees for service

In-kind contributions from… Value of donated labor Value of donated space Value of donated vehicles Value of donated supplies

The overall match for new applicants is 24% (cash and/or

in-kind)

(Sections I and II combined)

QUESTIONSQUESTIONS

Mr. Carey W. CraigChief Operating Officer

T: 317.233.0900E: ccraig@ofbci.IN.gov

- or -

Ms. Edith McGuireAccount and Compliance Officer

T: 317.234.3255E: emcguire@ofbci.IN.gov

OFFICE of FAITH-BASED and COMMUNITY INITIATIVES302 West Washington Street

Indiana Government Center – South Complex, Room E-012Indianapolis, Indiana 46204

F: 317.233.5660W: www.IN.gov