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PSGP Program Appendix | 2023 Page G-15 <br />Management and Administration (M&A) <br />M&A costs are allowed under this program. M&A costs are activities directly related to managing and <br />administering the award. Recipients may use up to 5% of the amount of the award for their M&A. PSGP <br />funds may be used for the following M&A costs: <br />•Hiring full-time or part-time staff, including contractors and consultants, to execute the following: <br />o Management of the awarded fiscal years’ PSGP award; <br />o Design and implementation of the awarded fiscal years’ PSGP submission meeting <br />compliance with reporting/data collection requirements, including data calls; <br />o Information collection and processing necessary to respond to FEMA data calls; <br />o Travel expenses related to PSGP grant administration; and <br />o Acquisition of authorized office equipment, including personal computers or laptops for <br />PSGP M&A purposes. <br />Allowable Indirect Costs <br />Indirect costs are allowable under this program. See the “Procedures for Establishing Indirect Cost Rates” <br />Section in “Pre-Submission Information” for more information. <br />Unallowable Costs <br />Projects that do not provide a compelling maritime security benefit or have a direct nexus toward maritime <br />security risk mitigation are not permitted. For example, projects that are primarily for economic or safety <br />benefit (as opposed to having a direct maritime security risk mitigation benefit) are ineligible for PSGP <br />funding. In addition, projects that provide a broad homeland security benefit (e.g., a communication system <br />or fusion center for an entire city, county, state, etc.) as opposed to providing primary benefit to the port are <br />ineligible for PSGP funding since these projects should be eligible for funding through other preparedness <br />grant programs. The following projects and costs are considered ineligible for award consideration: <br />•Grant funds must comply with FEMA Policy 207-22-0002, Prohibited or Controlled Equipment <br />Under FEMA Awards, and may not be used for the purchase of the following equipment: <br />firearms, ammunition, grenade launchers, bayonets, or weaponized aircraft, vessels, or vehicles <br />of any kind with weapons installed; <br />•Projects in which federal agencies are the primary beneficiary or that enhance federal property, <br />including sub-components of a federal agency; <br />•Projects that study technology development for security of national or international cargo supply <br />chains (e.g., e-seals, smart containers, container tracking or container intrusion detection devices); <br />•Proof-of-concept projects; <br />•Development of training; <br />•Projects that duplicate capabilities being provided by the Federal Government (e.g., vessel traffic <br />systems); <br />•Business operating expenses (certain security-related operational and maintenance costs are <br />allowable—see “Maintenance and Sustainment” and “Operational Costs” for further guidance); <br />•Transportation Worker Identification Credential (TWIC) card fees; <br />•Reimbursement of pre-award security expenses; <br />•Outfitting facilities, vessels, or other structures with equipment or items providing convenience <br />rather than a direct security benefit. Examples of such equipment or items include but are not <br />limited to office furniture, CD players, DVD players, AM/FM radios, TVs, stereos, entertainment <br />satellite systems, entertainment cable systems and other such entertainment media, unless sufficient <br />justification is provided. This includes weapons and associated equipment (i.e., holsters, optical