Section 1260.270  Budget

All applications for funding shall include a budget for the project. The budget will include a narrative describing the program and line itemization, and will be in accordance with the DSP prescribed format.

a)         Personnel and Compensation

1)         For ISEARCH Units employing or contracting for personnel, written personnel policies are required and will include employee working hours and vacation and sick leave allowances, payment of accrued vacation at the end of employment, overtime, and employee benefits. Policies also will include information related to pay increases, promotions, and other pertinent regulations.

2)         Amounts charged for personnel services must be based on documented payrolls and approved in accordance with the normal payroll procedures of the local agency or a contractual agreement. Payrolls must be supported by time and attendance records for individual employees. These records must demonstrate the days and hours worked for the ISEARCH Unit.

3)         Dual compensation is prohibited, i.e., the individual may not receive compensation from two sources for the same work.

4)         Hireback or overtime compensation for sworn personnel assigned to unit activities is to be based upon the employing agency's regular compensation policies and paid by the employing agency in accord with normal payroll procedures. Those costs may be either reimbursed by or charged against the approved grant budget. Exceptions to this practice must have prior DSP approval.

5)         The salaries and job titles of individuals must be outlined in an approved budget.

b)         Equipment

Equipment must be necessary and described in the approved budget.

c)         Consultants (Professional Services)

DSP must review and approve contracts for the use of professional services from individuals, other government units, and non-government organizations, or consultants. Contracts must be submitted for review with the budget. Review standards shall incorporate cost effectiveness, program relevancy, likelihood of meeting performance measures, and budgetary limitations.

d)         Other Contractual

Other contractual costs may include the costs of maintenance contracts, utilities, equipment lease and maintenance, rentals, and facilities. These are considered as other contractual in that they generally are incurred as a result of an agreement, letter of intent, contract, or lease, a copy of which must be submitted with the budget.

e)         Travel

1)         Travel costs include expenses for transportation, lodging, subsistence, and related items incurred by employees who are on official business for I SEARCH. Such costs may be charged as actually incurred, by per diem, or on a mileage basis, provided the method used is applied to an entire trip and results in charges consistent with those normally allowed in like circumstances in non-State sponsored activities. The difference in cost between first-class air accommodations and less-than-first-class air accommodations is not allowable except when less-than-first-class air accommodations are not reasonably available. Meals may not be claimed if travel is within the employee's headquarters' city.

2)         All out of state travel must receive prior DSP approval if not contained in the grant budget. DSP must approve foreign travel costs prior to each trip. Foreign travel is defined as any travel outside of Canada and the United States and its territories and possessions. Such approval is based upon cost-effectiveness and relevancy to the program. Investigation related travel is exempt from these requirements.

3)         Expenses between employee's residence and headquarters are not allowable charges.

4)         The traveler must support costs by travel vouchers which contain dates, places, and purposes of travel and which comply with State travel regulations which will be provided by the Department. Motel or hotel bills and train or airplane ticket receipts must support these charges.

f)          Commodities

Commodities include supplies and materials needed to operate the I SEARCH program. Purchases made specifically for the I SEARCH program are to be charged at their actual prices after deducting cash and trade discounts, rebates, and allowances received. Withdrawals from general stores or stockrooms may be charged at cost under any recognized method of pricing which is consistently applied. Incoming transportation charges are a proper part of material costs. All purchases must be supported by purchase orders, invoices, or cancelled checks with vouchers showing the amounts.

g)         Costs for Conferences

Lunches or dinners are reimbursed according to Illinois Department of Central Management Services' Travel Regulations 80 Ill. Adm. Code 2800.

h)         Unallowable Costs

1)         Bad Debts. Any losses arising from accounts and related costs.

2)         Contingencies. Contributions to a contingency reserve or any similar provision for unforeseen events.

3)         Contributions and donations.

4)         Costs incurred prior to award period or after termination of the grant.

5)         Entertainment. Cost of amusement, social activities, and incidental costs such as meals, beverages, lodging, rentals, transportation, and gratuities.

6)         Fines and Penalties. Costs resulting from violations of, or failure to comply with, Federal, State, and local laws and regulations.

7)         Inappropriate Expenditures. Expenditures not related to the program or unreasonable as to the benefits derived.

8)         Interest and Other Financial Costs. Interest on borrowings (however represented), bond discounts, cost of financing and refinancing operations, and legal and professional fees paid for such operations.

9)         Purchase of Unit Owned Equipment. The I SEARCH Unit may not use DSP funds to purchase equipment already owned by the unit unless specifically approved by DSP based upon economic need of the unit and availability of resources of the unit. This does not apply to equipment owned by a State or local government central purchasing department and held in stock available for issuance and sale to the I SEARCH Unit or other government offices.