[Code of Federal Regulations] [Title 32, Volume 1] [Revised as of January 1, 2008] From the U.S. Government Printing Office via GPO Access [CITE: 32CFR37.535] [Page 212] TITLE 32--NATIONAL DEFENSE CHAPTER I--OFFICE OF THE SECRETARY OF DEFENSE PART 37_TECHNOLOGY INVESTMENT AGREEMENTS--Table of Contents Subpart E_Pre-Award Business Evaluation Sec. 37.535 How do I value cost sharing related to real property or equipment? You rarely should accept values for cost sharing contributions of real property or equipment that are in excess of depreciation or reasonable use charges, as discussed in Sec. 37.685 for for-profit participants. You may accept the full value of a donated capital asset if the real property or equipment is to be dedicated to the project and you expect that it will have a fair market value that is less than $5,000 at the project's end. In those cases, you should value the donation at the lesser of: (a) The value of the property as shown in the recipient's accounting records (i.e., purchase price less accumulated depreciation); or (b) The current fair market value. You may accept the use of any reasonable basis for determining the fair market value of the property. If there is a justification to do so, you may accept the current fair market value even if it exceeds the value in the recipient's records.