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12. "Federally recognized Indian tribal government" means the governing body or a
<br />governmental agency of any Indian tribe, band, nation, or other organized group or community
<br />(including any native village as defined in Section 3 of the Alaska Native Claims Settlement Act,
<br />85 Stat. 688) certified by the Secretary of the Interior as eligible for the special programs and
<br />services provided through the Bureau of Indian Affairs.
<br />13. "Governmental unit" means the entire State, local, or federally-recognized Indian tribal
<br />13. "Governmental unit" means the entire State, local, or federally-recognized Indian tribal
<br />13. "Governmental unit" means the entire State, local, or federally-recognized Indian tribal
<br />government, including any component thereof. Components of governmental units may function
<br />government, including any component thereof. Components of governmental units may function
<br />government, including any component thereof. Components of governmental units may function
<br />independently of the governmental unit in accordance with the term of the award.
<br />independently of the governmental unit in accordance with the term of the award.
<br />14. "Grantee department or agency" means the component of a State, local, or
<br />14. "Grantee department or agency" means the component of a State, local, or
<br />14. "Grantee department or agency" means the component of a State, local, or
<br />federally-recognized Indian tribal government which is responsible for the performance or
<br />federally-recognized Indian tribal government which is responsible for the performance or
<br />federally-recognized Indian tribal government which is responsible for the performance or
<br />administration of all or some part of a Federal award.
<br />administration of all or some part of a Federal award.
<br />15. "Indirect cost rate proposal" means the documentation prepared by a governmental unit or
<br />component thereof to substantiate its request for the establishment of an indirect cost rate as
<br />described in Attachment E of this Circular.
<br />16. "Local government" means a county, municipality, city, town, township, local public
<br />16. "Local government" means a county, municipality, city, town, township, local public
<br />16. "Local government" means a county, municipality, city, town, township, local public
<br />authority, school district, special district, intrastate district, council of governments (whether or
<br />authority, school district, special district, intras
<br />tate district, council of governments (whether or
<br />authority, school district, special district, intrastate district, council of governments (whether or
<br />not incorporated as a non-profit corporation under State law), any other regional or interstate
<br />not incorporated as a non-profit corporation under State law), any other regional or interstate
<br />not incorporated as a non-profit corporation under
<br />State law), any other regional or interstate
<br />government entity, or any agency or instrumentality of a local government.
<br />government entity, or any agency or instrumentality of a local government.
<br />17. "Public assistance cost allocation plan" means a narrative description of the procedures that
<br />will be used in identifying, measuring and allocating all administrative costs to all of the
<br />programs administered or supervised by State public assistance agencies as described in
<br />Attachment D of this Circular.
<br />18. "State" means any of the several States of the United States, the District of Columbia, the
<br />Commonwealth of Puerto Rico, any territory or possession of the United States, or any agency or
<br />instrumentality of a State exclusive of local governments.
<br />C.Basic Guidelines
<br />1. Factors affecting allowability of costs. To be allowable under Federal awards, costs must meet
<br />the following general criteria:
<br />a. Be necessary and reasonable for proper and efficient performance and administration of
<br />Federal awards.
<br />b. Be allocable to Federal awards under the provisions of this Circular.
<br />c. Be authorized or not prohibited under State or local laws or regulations.
<br />d. Conform to any limitations or exclusions set forth in these principles, Federal laws, terms and
<br />conditions of the Federal award, or other governing regulations as to types or amounts of cost
<br />items.
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