[Code of Federal Regulations]

[Title 45, Volume 1]

[Revised as of October 1, 2006]

From the U.S. Government Printing Office via GPO Access

[CITE: 45CFR95.631]



[Page 497]

 

                        TITLE 45--PUBLIC WELFARE

 

                    SUBTITLE A--DEPARTMENT OF HEALTH

                           AND HUMAN SERVICES

 

PART 95_GENERAL ADMINISTRATION_GRANT PROGRAMS (PUBLIC ASSISTANCE, MEDICAL 

ASSISTANCE AND STATE CHILDREN'S HEALTH INSURANCE PROGRAMS)--Table of 

Contents

 

 Subpart F_Automatic Data Processing Equipment and Services_Conditions 

                for Federal Financial Participation (FFP)

 

Sec.  95.631  Cost identification for purpose of FFP claims.



    The conditions of this subpart apply notwithstanding the existence 

of an approved cost allocation plan. State agencies shall assign and 

claim the costs incurred under an approved APD in accordance with the 

following criteria:

    (a) Development costs. (1) Using its normal departmental accounting 

system, the State agency shall specifically identify what items of costs 

constitute development costs, assign these costs to specific project 

cost centers, and distribute these costs to funding sources based on the 

specific identification, assignment and distribution outlined in the 

approved APD; (2) the methods for distributing costs set forth in the 

APD should provide for assigning identifiable costs, to the extent 

practicable, directly to program/functions. The State agency shall amend 

the cost allocation plan required by Subpart E of this part to include 

the approved APD methodology for the identification, assignment and 

distribution of the development costs.

    (b) Operational costs. Costs incurred for the operation of an ADP 

system shall be identified and assigned by the State agency to funding 

sources in accordance with the approved cost allocation plan required by 

Subpart E of this part.

    (c) Service agreement costs. States that operate a central data 

processing facility shall use their approved central service cost 

allocation plan required by OMB Circular A-87 to identify and assign 

costs incurred under service agreements with the State agency. The State 

agency will then distribute these costs to funding sources in accordance 

with paragraphs (a) and (b) of this section.



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